HuffingtonPost sold for $315 million to AOL.

[dreamache]

http://www.nytimes.com/2011/02/07/business/media/07aol.html

Sellouts? Yes, would I do it? Fuck yes. Rollin in the cash.

25m monthly visitors, $60m rev. generated last year.. Started in May 2005 with 1 million rev.

 

[invisible777]

$60m /year rev?

$315m is a bargain

edit: i thought liberals didn't believe in capitalism

 

[guerilla]

What's the net?

 

[Bofu2U]

What's the net?

It's a place where a lot of websites are and it allows people to communicate efficiently, and make monies.

 

[cowsgonemad]

and make monies.

how can i make monies on the net?????

 

[Unarmed Gunman]

 

[guerilla]

It's a place where a lot of websites are and it allows people to communicate efficiently, and make monies.

Very clever!

 

[Insomniac]

$60m /year rev?

$315m is a bargain

edit: i thought liberals didn't believe in capitalism

Linkedin shows 364 employees registered. Lets just take a low ball estimate that the average employee earns $40K/year.. wages alone would be $14mm+. It wouldn't surprise me if profit is closer to $20mm, making $315mm a long term investment.

 

[faceblogger]

Not that bad compared to - ppc.bz acquired by google for $16 Million dollars

January Traffic Stats | ppc.bz

 

[smaxor]

Linkedin shows 364 employees registered. Lets just take a low ball estimate that the average employee earns $40K/year.. wages alone would be $14mm+. It wouldn't surprise me if profit is closer to $20mm, making $315mm a long term investment.

Wait you mean businesses have expenses? These are the same people that buy bizopps based on "revenue" numbers with no mention of net or expenses.

 

[Instrumentalist]

YTMND - Internet!

 

[pocketrockets]

Here are some of the financial details from the CFO of AOL:

First, on a stand-alone basis, I believe this is a very good financial deal for AOL. The Huffington Post has had rapid growth since its birth. In 2011, we expect it will do over $50 million in revenue and we believe it will be at a $100 million revenue runrate in the next 12 months and operating in the 30% margin range. Even on a standalone basis, we think this is a very good deal for us financially.

Third, while we expect The Huffington Post to generate approximately $10 million in
Adjusted OIBDA for the full year of 2011 (and a similar amount in operating income
before other items I am discussing here today), keep in mind that we won’t own the
business for the full year and the Adjusted OIBDA it generates in 2011 will be offset
by retention compensation and transaction costs.

http://phx.corporate-ir.net/Externa...9MzczMDk3OXxDaGlsZElEPTQxMjU0N3xUeXBlPTI=&t=1

 

[harrymouni]

 

[Unarmed Gunman]

If you read Armstrong's stated goals for AOL in the content space, the move makes sense. It's not like they're trying to buy sites off Flippa so the revenue multiplier isn't as relevant as you think.

 

[jellyfish]

AOL? More like AIG, American Internet Graveyard

 

[jellyfish]

More seriously though, this is just an example of their vertical expansion, they previously sold ad space for them so maybe they are just looking to control more of the pipeline to build their brand domination.

 

[theunicorn]

hufpo is more or less a content farm now so makes sense as aol busy in that space now.

LEAKED: AOL's Master Plan