Observer Capital, a private equity firm led by Joseph Meyer of Observer Media (owner of the New York Observer), has made its first purchase: b2b finance and healthcare publisher SourceMedia.
Folio: reports that while terms were not disclosed, when Investcorp previously explored a sale of its SourceMedia property, the price was pegged at $60 million, and that a source called the figure a “reasonable estimate” this time around, as well.
“We explored a sale … and didn’t draw the value we wanted and then stepped away from the process,” SourceMedia CEO Doug Manoni tells Folio:. “Over the last four years we’ve created a lot of positive momentum, radically changing the composition of our revenues and we’ve increased our profitability quite handsomely.”
Manoni, who said that digital has emerged as SourceMedia’s biggest ad stream, will stay on as CEO. The compant publishes American Banker, The Bond Buyer, and Accounting Today.
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