Tech publisher Ziff Davis agrees to be sold
Ziff Davis, which owns technology-review websites and electronic publications including PCMag.com, Gearlog and TechSaver.com, has agreed to be sold to a Boston-based private equity firm and a former Time Warner executive, writes Shira Ovide of The Wall Street Journal.
Ovide writes, “The new owners say Ziff Davis is an attractive bet because it’s not saddled with a legacy print business, and the company is valuable to marketers because of its tight focus on technology and on helping consumers pick the best tech gear. They also say they see big business potential in selling marketing databases that piggyback on the company’s information about consumers who use Ziff Davis to research and shop.
“Ziff Davis won’t have any debt, as would a leveraged buyout, a financial arrangement the new owners feel gives the company the best chance to succeed.
“‘It’s not an LBO deal, it’s not based on cost cutting. This is a build,’ said Chris Gaffney, managing partner at Great Hill Partners. He said the new owners already are looking at other investments to add to Ziff Davis, which Mr. Gaffney said turns a ‘small operating profit.'”
Read more here.