CMP and parent company United Business Media recently closed on deals to buy three properties: Informex, a trade show for the specialty chemical industry, for $24 million; Light Reading, an online and event media company specializing in telecommunications and its evolving “next generation,” for $27 million; and TechOnLine, which serves a worldwide community of engineering professionals with online information, education and other services, for an undisclosed sum.
“I wouldn’t want to signal that we’re heavily in the market to acquire companies,” said CMP Media President-CEO Gary Marshall, “but we are clearly looking for acquisitions that make sense for our business.”
With regard to the two online b-to-b media companies,
Jeffrey Dearth, partner at DeSilva & Phillips, said media companies, as strategic buyers, are starting to look seriously at acquiring online-based media companies that have proven themselves. While there have not been too many of these deals in the b-to-b space recently, Dearth said he expects to see a lot more. “With all the advertising dollars moving over to online—and a growth rate that’s so much higher than print—they would be foolish not to be looking,” he said.
Dearth noted that TechOnLine, which was founded in 1995, survived the Internet bubble and bust, and has proven itself. Light
The new companies bring “good groups of people with expertise, some new products and different ways of doing things,”
In other news from CMP, the company on Sept.1 announced a joint venture with New Delhi-based CyberMedia to create a global portfolio of print and online products as well as events to target professionals who evaluate and select outsourcing solution providers. The new business, called CMP-CyberMedia, will combine the expertise of CyberMedia’s BPO (business process outsourcing) portfolio, which includes www.globaloutsourcing.org, with CMP Media’s “Managing Offshore” e-newsletter and Web site. Rusty Weston, founder of “Managing Offshore,” will serve as editor in chief for the joint venture.
The Indian joint venture enables CMP to penetrate the fast-growing BPO/offshoring market in an unprecedented way,