Thursday, November 10, 2005

PlanetOut Buys The Advocate and OUT


(image via

Gays are always one bouncy half-step ahead of the curve. It's the gay media wedding of the century (link via iwantmedia). Amid talks of the decline of print media, PlanetOut has bought The Advocate and OUT. Is this in anticipation of a trend of online content eclipsing and ultimately absorbing offline media? According to PaidContent's Stacy Kramer:

"In the latest new media buyout of a primarily print company, PlanetOut Inc. has acquired LA-based LPI Media, publisher of The Advocate and OUT, creating what the press release bills as 'the world's largest gay media company, leading online and offline brands now under one roof.'"

And that roof, that roof, that roof is on fire:

"Announced with PlanetOut's 3Q 05 earnings, the purchase price of $31.1 million includes $24 million in cash and approxiemately $7.1 million in seller-financed debt. PlanetOut will cover another $1 million in costs. LPI is the largest circulation LGBT magazine publisher with more than 8 million copies a year. The sale include, and related e-commerce sites."

The start of a trend?

No comments: