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WebMediaBrands (WEBM) Sells Internet.com Division for $18M

August 10, 2009 7:39 AM EDT
WEBM Hot Sheet
EPS Growth %: +80.0%
WebMediaBrands Inc. (Nasdaq: WEBM) entered into a definitive asset purchase agreement to sell its Internet.com division to QuinStreet, Inc. for an aggregate purchase price of $18 million in cash.

The Board of Directors of WebMediaBrands unanimously approved the transaction and resolved to recommend that WebMediaBrands' stockholders approve the transaction. Completion of the transaction is subject to approval by WebMediaBrands' stockholders and other customary closing conditions. In addition, Alan M. Meckler, WebMediaBrands' Chairman and Chief Executive Officer, and certain other stockholders, who, with Mr. Meckler, collectively hold approximately 39.5% of WebMediaBrands' outstanding stock, have entered into definitive support agreements with QuinStreet, Inc. to vote a total of 37% of WebMediaBrands' outstanding stock in favor of the transaction. The transaction is not subject to a financing condition. WebMediaBrands expects the transaction to be free of taxes.

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