Disney completes Infoseek buyout

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In a deal announced July 12, the Walt Disney Co. has agreed to buy the remaining shares of the portal site Infoseek Corp., that it doesn't already own.

Disney purchased a 43% stake in Infoseek last year and pooled its search engine and portal resources into the Go Network, a network of sites, including ABCNews.com, Disney Online and ESPN.com. Disney said it plans on merging Infoseek with its Buena Vista Internet Group into a Web business called Go.com. A new stock will be issued that will trade on the New York Stock Exchange under the ticker symbol Go. Infoseek shareholders will receive 1.15 shares of go.com for each of their Infoseek shares. Disney will own 72% of the new go.com. The transaction is expected to close by yearend. Harry Motro, president-CEO of Infoseek, will continue in his role until the deal is closed, after which time he has elected to leave to pursue other interests.

Copyright July 1999, Crain Communications Inc.

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