The financial news network CNNfn said Wednesday it is taking a minority ownership stake in PCQuote.com, the Internet subsidiary of stock-information company PC Quote (PQT) , and will start supplying news headlines from the CNNfn.com Web site to PC Quote's site.
The companies said the agreement represents the first step toward what is likely to be closer ties between
and PC Quote. "This is what we hope will be the beginning of a larger and deeper relationship," said Lou Dobbs, president of
, a unit of
March 25 that the companies were in discussions to partner on a joint Internet venture.
As part of the agreement, visitors to the PC Quote Web site will be able to read headlines from
along with the stock, bond, commodity and other financial information PC Quote already provides to investors. Web users who click on the headlines to read more information will be linked back to the
Web site. "This is all part of a major plan to empower the individual investor with better tools, with more information," said Jim Porter, PC Quote's CEO.
The companies did not elaborate further, but CNNfn.com could likely include data from PC Quote on its site or market subscriptions to different PC Quote services.
already partners with companies such as
, linking to its
, whose shopping search engine is accessible from
"We will continue, through strategic partnerships, to build out value and the highest possible content offering" for financial information on the Web, Dobbs said.
is one of several Time Warner Web properties, such as the sports site
, which it's been speculated could be spun off from Time Warner as a separate publicly traded company.
Dobbs did not disclose the size of
stake. Porter said no money was changing hands as part of Wednesday's agreement.
want to build online brands," said Robert Sterling, digital commerce analyst with
. "They've got strong terrestrial brands through television, but they want to become financial destination sites as well."
The deal raises the profile of PC Quote, which is seeing a growing amount of its revenue come from its Internet operations. The company, founded in 1980 as
, is not covered by any Wall Street firm, according to Porter. In 1998, the company reported a loss of $7.5 million, or 19 cents a share, on revenue of $23 million. In 1997 PC Quote reported a loss of $11.1 million, or 57 cents a share, on revenue of $17.1 million.
PC Quote's stock, which ran up 4 1/4 on Tuesday following the announcement that it would sell Wall Street research from
on its site, fell 2 to close at 12 3/4 on Wednesday.
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