Breaking News
FONT-SIZE Plus   Neg
Share SHARE
mail  E-MAIL

Privately-held Primedia To Buy Rent.com From EBay

3/22/2012 9:55 PM ET

Privately-held real estate listings website provider Primedia, Inc. agreed to buy smaller rival Rent.com from its owner, online auctioner eBay, Inc. (EBAY: Quote), in order to provide its advertisers more options and greater visibility. Rent.com is a leading Internet listing website in the apartment and rental housing industry.

The terms of the deal, expected to close second quarter of fiscal 2012, were not disclosed by the companies. The combined entity will be led by Primedia President and CEO Charles Stubbs.

Rent.com, founded in 2000 by Scott Ingraham and Allan Hunter, is a wholly owned subsidiary of San Jose, California-based eBay, which acquired it in February 2005 for $425 million in cash.

"Rent.com has a strong reputation, brand awareness, history and URL. Both Rent.com and PRIMEDIA have long track records of delivering a high-quality consumer and client experience in the marketplace," Stubbs said in a statement.

The acquisition of Rent.com will be complementary to Primedia's category-leading web sites and mobile applications. Rent.com runs a successful pay-for-performance business model.

The combined entity will also provide advertiser clients a broader range of innovative products and services that deliver cost-effective and high quality leads and leases.

Primedia, acquired by affiliates of private investment firm TPG Capital in July 2011, is already the owner of web properties such as ApartmentGuide.com, Rentals.com, RentalHouses.com and NewHomeGuide.com. Primedia is also the parent company of Consumer Source Inc.

"We are excited to be joining PRIMEDIA, a leading vertical search company in the apartment and rental housing sector. Rent.com fits in nicely with PRIMEDIA's mission of being the go-to resource to help people find the perfect place to live," said Bill McKnight, Rent.com General Manager.

EBAY closed Thursday's regular trading session at $37.62, up $0.20 or 0.53% on a volume of 7.15 million shares.

Register
To receive FREE breaking news email alerts for eBay Inc. and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Chipmaker Advanced Micro Devices Inc. said Thursday after the markets closed that its first quarter loss narrowed from last year, helped by strong revenue growth in its graphics and visual solutions business. The company's quarterly earnings per share, excluding items, also came in above analysts' expectations as did its quarterly revenue. After trending higher over the past few sessions, stocks showed a lack of direction throughout the trading day on Thursday. The major averages spent the session bouncing back and forth across the unchanged line before ending the day mixed. While the major averages closed on opposite sides of the unchanged line, they all showed only modest moves. U.S. Secretary Of State John Kerry said Thursday that he and his counterparts from Russia, Ukraine and the European Union have reached an agreement on a preliminary plan for ending the ongoing crisis in Ukraine. Kerry was speaking at the end of the Ukraine contact group's first meeting, comprising the foreign ministers of Russia, Ukraine, the EU and the U.S., in the Swiss city of Geneva.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.