Maven to Acquire TheStreet
12 Juni 2019 - 3:47PM
Business Wire
Third acquisition in 12 months, Maven continues
drive to build leading tech and distribution platform for premium,
independent media
Maven (TheMaven, Inc.) (OTC: MVEN) (maven.io) announced
TheStreet, Inc. (Nasdaq: TST) (www.t.st) has agreed to be acquired
by Maven. A subsidiary of Maven will acquire all of the outstanding
common shares of TheStreet for $16.5 million in cash. The
transaction is funded through debt financing fully committed by a
subsidiary of B Riley Financial, Inc. (Nasdaq: RILY).
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This marks Maven’s third acquisition in the last year, advancing
its ongoing mission to empower the growing coalition of independent
media partners on Maven’s digital distribution and monetization
platform which today reaches more than 100 million consumers
worldwide.
“This is an important milestone for Maven’s growth strategy,”
said Maven CEO James Heckman. “The entire team at TheStreet have
built a powerful and important voice delivering market-leading
financial insights. By combining our reach, technology, platform
and monetization capabilities, we can help amplify their amazing
work.”
Joining household brands such as History, Maxim, Yoga Journal,
and Ski Magazine, TheStreet’s acquisition is intended to boost
Maven’s growing finance network with recognized analysts, premium
content, thousands of subscribers, and the industry branding power
to facilitate better monetization and distribution for all maven
partners.
TheStreet will form the core of a finance vertical that will
combine with Maven’s other strategic finance partners operating
hyper-focused category destinations, such as long and short
equities, bonds, commodities, crypto, macro, taxes, retirement,
cybersecurity, and more. TheStreet brings its 20-year editorial
tradition, strong subscription platform and valuable membership
base to Maven, and will benefit from Maven’s mobile-friendly CMS,
social and monetization technology.
Eric Lundberg, CEO and CFO of TheStreet, said, “We’re excited to
join the Maven family and its coalition of over 270 independent
publishers. We’ve seen the power of the Maven platform and are
pleased to bring new capabilities to our readers, and our great
content to Maven’s existing audience. Together, that kind of scale
provides critical mass to propel our growth.”
The combined companies are expected to profitably generate more
than $50 million in revenue over the next four quarters. The
transaction is expected to close in the third quarter.
About Maven
Maven (maven.io) is a coalition of Mavens, from individual
thought-leaders to world-leading independent publishers, operating
on a shared digital publishing, advertising, and distribution
platform and unified under a single media brand. Based in Seattle,
Maven is publicly traded under the ticker symbol MVEN.
About TheStreet, Inc.
TheStreet, Inc. (NASDAQ: TST) (www.t.st) is a leading financial
news and information provider to investors and institutions
worldwide. The Company's flagship brand, TheStreet
(www.thestreet.com), has produced unbiased business news and market
analysis for individual investors for more than 20 years.
Notice Regarding Forward-Looking
Statements
This press release contains forward-looking statements as that
term is defined in the Private Securities Litigation Reform Act of
1995. These forward-looking statements include statements regarding
planned investments in our business and expectations for 2019. Such
forward-looking statements are subject to risks and uncertainties,
including those described in the Company's filings with the
Securities and Exchange Commission ("SEC") that could cause actual
results to differ materially from those reflected in the
forward-looking statements. Factors that might contribute to such
differences include, among others, economic downturns and the
general state of the economy, including the financial markets and
mergers and acquisitions environment; our ability to drive revenue,
and increase or retain current advertising and subscription
revenue; our ability to develop new products; competition and other
factors set forth in our filings with the SEC, which are available
on the SEC's website at www.sec.gov. All forward-looking statements
contained herein are made as of the date of this press release.
Although the Company believes that the expectations reflected in
the forward-looking statements are reasonable, the Company cannot
guarantee future results or occurrences. The Company disclaims any
obligation to update these forward-looking statements, whether as a
result of new information, future developments or otherwise.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20190612005585/en/
Doug Smith, Chief Financial Officer, theMaven, Inc.,
ir@maven.io
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