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Atlantic Media sells its Quartz digital news site to a little-known Japanese media company
Uzabase, Tokyo-based will pay between $ 75 and $ 110 million for Quartz , depending on how much revenue the site makes on the rest of this year, he said in a statement.
Uzabase was founded 10 years ago by two business bankers and a computer consultant who built his own business data service. The company launched in the media industry in 2013, launching the NewsPicks economic press application.
The news aggregation platform has since attracted more than 3 million users, and Uzabase indicates that almost half of NewsPicks' revenue comes from subscriptions, which cost $ 15 per month. The company teamed with News Corp. ( NWSA ) Dow Jones to bring the application to the United States last year.
Now it aims to expand its international operations with Quartz, which has made a name for itself through its exclusively digital business information approach, focusing on readers who get their information through mobile devices and devices. social media.
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The media industry is under increasing pressure from technology companies as Google ( GOOG ) ] and Facebook ( FB ) who have a strong hold on the digital advertising industry.
But Quartz claims to have succeeded with its "native advertising" approach, in which brands sponsor items and products rather than just paying for regular display ads. The site says it is on track to increase advertising revenue by 35% this year.
As part of the Uzabase agreement, Quartz will seek to make money in other areas, such as subscriptions. As part of the acquisition, Quartz will assume responsibility for the English version of NewsPicks.
"We expect our existing products to remain free, but we are also focused on providing premium content and services," writes Kevin Delaney, editor of Quartz and Jay Lauf in a memo.
Quartz will retain its headquarters in New York, its leadership will remain the same and it will continue to operate its handful of offices in the United States and abroad, said the two companies.
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Quartz has several digital products, including its website, mobile application, email newsletters and content video.
Quartz was "truly the first new media company to successfully combine quality journalism with mobile technology," NewsPicks CEO Yusuke Umeda said in a press release. "I am very excited to begin the next chapter of NewsPicks' growth with a company and a team that I greatly respect," he added.
Uzabase said the agreement is expected to conclude in the next 30 days.
The sale of Quartz to a Japanese company comes three years after the purchase of the Financial Times by the Japanese publishing group Nikkei.
CNNMoney (Hong Kong) First published on July 2, 2018: 5:44 AM ET
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