Articles of the Day


Entrepreneur Media Deal Blows Up; CEO Backs out of Sale — Entrepreneur Media, the Irvine, CA-based parent of Entrepreneur magazine, has called off the sale of its company at the last second. In a memo to employees on Thursday, obtained by Folio, Entrepreneur CEO Peter Shea announced the decision not to proceed with the sale. The company was in the process of being bought by Austin Ventures and Castanea Partners for around $160 million, and we had been reporting on the process all along. The deal was supposed to be finalized this month.

CNET On Target; Immediately Accretive; $1 Billion Interactive Revenue In Three Years — After having listened to several of these so far this quarter, conference call intros are getting pretty predictable: The economy is weak, but business is holding up, and don’t forget to look at all that cash we’re throwing off. CBS CEO Les Moonves explained that the company is taking key steps to move from slow growth to high-growth areas: Selling radio stations, buying CNET: “CNET networks was forecast to make about $450 million in revenue and $100 million in profit, and they are on track.” He added that the acquisition would be immediately accretive to cash flow and earnings, adding 2 percent to revenue and growth estimates.

ValueClick Q2 Profits Slide 6.3 Percent; Revs Up 10 Percent — Having already warned investors two weeks in advance that weakness in display advertising would mean a rough second half, online ad company ValueClick said Q2 net income was $16.5 million ($0.17 per diluted common share) down 6.3 percent from last year’s $17.6 million ($0.17 per diluted common share). Revenue for the quarter of 2008 was $163.8 million, a 10 percent rise from $148.7 million in Q207, thanks in part to a boost from MeziMedia, which ValueClick bought in July 2007.

TheStreet.com: CEO Clarke: Continued Focus On Acquisitions; Ad Market Holds Up — How did TheStreet.com manage to report a pretty solid quarter, in light of ad weakness and the market downdraft? CEO Tom Clarke chalked it up to the company’s efforts at diversifying its network, reducing its reliance on financial advertisers, expanding its subscription services (see: Nails on the Numbers, a stock options newsletter written by Lenny Dykstra) and growing its other services (Promotions.com). Going forward, expect more subscription newsletters, an investment into long-form video and a continued focus on acquisitions (prudent, of course).

Steve Case’s RevolutionHealth Hires Banker, Sale Possible — More signals that the revolution is on hold. Last month we noted that Steve Case’s ambitiously named Revolution Health was moving out of the B2B business and laying off 20 percent of the workforce. We also mentioned that the company as according various strategic options. Now there’s a report that makes this sharper: Workforce Management magazine says that Revolution has hired an investment bank to explore a possible sale or merger. The story says the company hired Morgan Stanley in the spring to help it raise capital, but that it has shifted focus.

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