Barry Diller’s IAC in Talks to Buy Magazine Publisher Meredith
Diller's IAC in Negotiations to Acquire Meredith:
Barry Diller's IAC holding company "is in advanced talks to acquire magazine publisher Meredith, owner of brands including People and Better Homes & Gardens, according to people familiar with the situation, in an effort to build more scale in online publishing," Jeffrey A. Trachtenberg of The Wall Street Journal reported Thursday. The agreement, which is expected to be valued at more than $2.5 billion, "would vastly expand IAC’s collection of online publications, which include Brides, Serious Eats and TripSavvy" while "also [bulking] up IAC's portfolio of websites, which has shrunk recently after the company moved to spin off online-dating behemoth Match Group and video-hosting and sharing platform Vimeo." Diller's company, which traces its lineage to the Home Shopping Network, outbid Phoenix-based private-equity firm The Najafi Cos. in recent days. Trachtenberg added that the decision to sell the company "would mark a major turnabout for Des Moines-based Meredith, which less than four years ago placed a bet on the future of the magazine business when it agreed to buy Time Inc. for $1.85 billion." During its ownership, it sold off such high-profile titles as flagship Time magazine and Sports Illustrated while "[focusing] on leveraging the brands of other Time publications such as People, which it felt had room to bring in more money." The media company divested its TV affiliates to Gray Television earlier this year. In addition to Match and Vimeo, other businesses once owned by IAC "include Expedia, Ticketmaster and LendingTree."