Yellow Pages Company Acquires Business.com
R.H. Donnelley Corporation , one of the nation’s leading Yellow Pages and online local commercial search companies, today announced that it has signed a definitive agreement to acquire Business.com, a leading business search engine and directory and pay-per-click advertising network.
Through this transaction, R.H. Donnelley will add to its existing interactive portfolio a rapidly growing and profitable business-to-business company, with online properties that include Business.com, Work.com and the Business.com Advertising Network. These online brands attract an audience of highly qualified and motivated business decision makers. Business.com optimizes the revenues from these properties through the use of its Performance Based Advertising (PBA) platform, which is considered to be one of the most advanced systems in the marketplace.
In addition, R.H. Donnelley’s Triple Play(TM) business-to-consumer integrated marketing solutions will also benefit from a significant infusion of leading-edge search and directory technology and interactive thought leadership from Business.com, particularly in the areas of performance based advertising technologies and corresponding ad network capabilities.
Business.com employs approximately 100 highly-skilled technologists, strategists and businesspeople and serves more than 6,000 business-to-business advertisers and their agencies. The company is profitable and is expected to generate revenues of greater than $50 million in 2007. It is widely recognized as a leader in the online business-to-business commercial search space and has been named to the “Inc. 500″ and BtoB magazine’s “Media Power 50″.
Business.com is led by Founder and CEO Jake Winebaum, a highly-regarded, successful leader of Internet and media companies. Upon closing of the transaction, Winebaum will be appointed as President of R.H. Donnelley’s interactive unit (RHDi), which will now include DexKnows.com(TM), LocalLaunch! search engine marketing company, Business.com, Work.com and the Business.com Advertising Network. Winebaum will lead RHDi from Santa Monica, Calif., and will report directly to Swanson.
Prior to starting Business.com, Winebaum led the Internet activities of The Walt Disney Company, serving as the Chairman of Buena Vista Internet Group, which managed high-profile brands such as Disney.com and ESPN.com. His leadership and contributions to the Internet industry have been acknowledge by Time magazine, which included him as one of the Top 50 Cyber Elite and Wired magazine, who placed him on the Wired 25.
Under the terms of the agreement, R.H. Donnelley will acquire Business.com for $345 million in cash and deferred purchase consideration. The deal is expected to close in the third quarter of 2007 and is subject to customary terms and closing conditions, including compliance with the Hart-Scott-Rodino Antitrust Improvements Act of 1976.