The $400 million deal included stocks and some cash. This is the second-largest merge in the digital platform in the last months.
It seems like it’s the prime time for acquisitions. Though just last week, Vox Media acquired New York Media which was all-stock transactions.
Vice Media, the provocative media brand with content pertaining to youth culture and entertainment acquited the lifestyle publisher Refinery29 to expand its reach towards the women audience. The acquisition was valued at $400 million and was mostly stock transactions.
Vice CEO Nancy Dubuc shared that the merger is a monumental moment for independent media as these two publishers are front runners in the digital publishing industry. This is expected to help to build a diversified media company that will give the young people a platform to freely express themselves on issues that matter in today’s society.
Previous efforts from Vice Media
Vice Media has been wanting to attract the massive female audience for a long time. Their efforts started with their women-focused website called Broadly. Later on, the site was renamed to Vice Identity in May. Other Vice channels were News, Motherboard (tech), Noisey (music), and Munchies (food).
Vice Media Group
The media firm is now named Vice Media Group. The Wall Street Journal reports that employees of Refinery29 are now under the supervision of Nancy Dubuc. This deal has been brewing for a few months and was just finalized recently.
Along with other digital publishers such as BuzzFeed and Vox, Vice Media Group is fighting for revenue against digital giants, Facebook and Google, for online ad spend. Vice Media started to fight head-on by investing in TV deals with HBO and other international broadcasters. It’s also building an in-house ad agency and selling rights of documentaries and feature films to Amazon and Netflix.
Talking about the merge, Dubus said, “We are doubling down on the power of brand, voice, and experience – things our audience puts trust in – as we strengthen our position for a competitive future.”
With combined assets and audience, Vice Media Group is out to expand its role in shaping social culture and impact the young people around the world.
What does this mean for you?
While Facebook and Google are effective means of reaching out to a wider audience, their ads can get pricey. Entrepreneurs who are still out there making a breakthrough are having a difficult time budgeting their ad spend while not compromising their digital presence. Independent digital platforms such as Vice Media Group will be a good way to start your climb into your industry especially if your brand resonates more with a younger audience.