LIN Media LLC (“LIN Media”; NYSE:LIN), a local multimedia company, announced that it has completed its acquisition of the stock of Federated Media Publishing, Inc. (“Federated Media”), the industry-leading digital content and conversational marketing company, for $22.4 million. The transaction will be treated as an asset acquisition for tax purposes and the purchase price is inclusive of $3.6 million of net working capital. On February 6, 2014 at 9:00 AM (ET), the Company will further discuss this acquisition during its regularly scheduled fourth quarter and full year 2013 earnings call.
“We are pleased to have closed on our third digital acquisition in the past twelve months and our largest to-date,” said Vincent L. Sadusky, President and Chief Executive Officer of LIN Media. “Federated Media complements our strategy of building a different kind of digital media business that drives scale, synergies and opportunities to further expand our national, regional and local sales channels.”
Federated Media’s premiere network of influential content marketing publishers and a client roster that includes prominent brands and agencies generated approximately $37 million of revenue during 2013. Federated Media has been the leader in conversational marketing for years and as a result of this acquisition, Federated Media’s independent publishers will be able to further monetize their content by leveraging LIN Media’s expertise, relationships and resources. Additionally, clients will benefit from deeper engagement, more robust native ad solutions and premium video and social platform offerings that have distinct competitive advantages from the other mechanistic or bulk media buying options available today.
“LIN Media is a true partner that helps agencies and brands effectively and efficiently reach their target audiences at scale by utilizing our portfolio of video, display, mobile, social and content platforms, as well as our comScore Top 15 Video and Top 25 Display market share,” said Robb Richter, LIN Media’s Senior Vice President Digital. “Federated Media’s talented employees are energized by our investment to further grow and innovate this strong and stable business. Our entire sales force is eager to roll out our expanded set of offerings.”