Published On: Thu, Dec 31st, 2020

Group Nine Media forms a SPAC to account acquisitions

Group Nine Media — which owns Thrillist, NowThis, The Dodo, Seeker and PopSugar — is a latest association to form a SPAC, according to a filing with a SEC.

These blank-check corporations, as they’re also known, have turn a renouned approach to lift income from a open markets. The filing says that Group Nine is formulating a SPAC “for a purpose of fulfilment a merger, collateral batch exchange, item acquisition, batch purchase, reorder or identical business combination.”

The association goes on to explain that it doesn’t have any specific merger targets in mind, and that there have not been “any concrete discussions.” But it says it’s meddlesome in digital media companies, as good as those in “adjacent industries” such as amicable media, e-commerce, events, digital edition and marketing.

The thought of consolidating digital media properties has been a repeated thesis from executives over a past few years. BuzzFeed CEO Jonah Peretti, for example, has pronounced that a combined digital media entity could have some-more poke in negotiations with Facebook and Google, and he recently struck a understanding to acquire HuffPost from Verizon Media (which also owns TechCrunch).

Group Nine is itself a roll-up of formerly eccentric digital media companies, led by CEO Ben Lerer (pictured above) and flourishing final year with a merger of PopSugar. The Wall Street Journal reported recently that a association was exploring a SPAC.

“We trust a digital media zone is primed for consolidation, as digital media companies need a scaled height with fit portfolio infrastructure to contest in a ecosystem and lapse value to shareholders in a long-term,” Group Nine says in a filing.

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