Updated from 8:31 a.m.
, the publisher of this Web site, today announced the acquisition of
Bankers Financial Products
, which owns
RateWatch, and is one of the nation's largest providers of pricing solutions for banks and credit unions. Established in 1989, the company has more than 5,700 financial institutions subscribing to its services.
BankingMyWay.com uses RateWatch data to allow consumers to conduct free searches to find the best local banking rates, from more than 50,000 bank and credit union locations. Users can search within their city, ZIP code or state for CDs, savings accounts, interest checking, money markets, mortgage/home equity and auto loans. BankingMyWay provides rates, allowing consumers to find the best rates in their own back yards.
The purchase price is approximately $25 million, consisting of approximately $16.9 million in cash (net of $3.9 million in debt repayment) and 636,081 shares of unregistered common stock of TheStreet.com. TheStreet.com expects the acquisition to be immediately accretive.
"Adding BankingMyWay to our network is another step toward becoming the premier destination for multimedia content pertaining to all areas where money and life intersect," said Thomas J. Clarke Jr., chairman and CEO of TheStreet.com.
Larry Starkweather, founder and president of RateWatch and BankingMyWay.com, added that joining the TheStreet.com network would draw attention to the best deals offered by RateWatch's banking clientele in thousands of communities throughout the U.S. "Whether they are offering special CD rates, attractive mortgage loans or competitive auto loans, we help our consumers get the best rates, while helping our advertisers gain new customers," Starkweather said.
On a conference call discussing the deal, TheStreet.com CFO Eric Ashman said this deal should help accelerate 2008 advertising growth. He added that the company intends to leverage the new infrastructure across the network of sites.
Shares of TheStreet.com were recently trading at $13.36.