Quinstreet Scoops Up Internet.com for $18M!
WebMediaBrands Inc. Signs Agreement to Sell Internet.com for $18M in Cash
Quinstreet just picked up Internet.com and related properties such as InternetNews.com, DevX, Linux Today at a bargain basement price.
The sites were generating $14M/yr in revenue. That puts the sale price at about 15 months revenue -- the kind of pricing you normally find on SitePoint's Flippa!
The reason for the low price seems to be mismanagement of the property on the part of WebMediaBrands. WMB was only managing to eek out an estimated 10% profit margin on these properties and was operating at a loss overall.
This sale sets a new floor for pricing in large web properties. This shoud act to depress prices in this niche for the next several years.