NEW YORK — Univision Communications, the leading Hispanic media company, has entered into an agreement to acquire digital media assets as part of the bankruptcy proceedings of Gawker Media Group, Inc. and six websites that produce content under a series of original brands that reach nearly 50 million readers per month, according to comScore.
UCI will acquire the digital media assets for $135 million, subject to certain adjustments, and these assets will be integrated into Fusion Media Group (FMG), the division of UCI that serves the young, diverse audiences that make up the rising American mainstream. The deal, which will be accounted for as an asset purchase, includes the following digital platforms, Gizmodo, Jalopnik, Jezebel, Deadspin, Lifehacker and Kotaku. UCI will not be operating the Gawker.com site.
Gawker.com announced it will close on Monday following 14 years of publication after losing a trial to Hulk Hogan over a private video posted on the site.
With this strategic acquisition, FMG’s digital reach is expected rise to nearly 75 million unique visitors, or 96 million unique visitors when including its extended network. The acquisition will expand FMG’s content offerings across key verticals including iconic platforms focused on technology (Gizmodo), car culture (Jalopnik), contemporary women’s interests (Jezebel) and sports (Deadspin), among others. The deal builds on UCI’s recently announced creation of FMG and investments in FUSION,The Root and The Onion, which includes The A.V. Club and ClickHole.
“Fusion Media Group is focused on serving America’s diverse youth with digital-first brands that reflect their values and passions, authentically,” said UCI’s Chief News, Entertainment and Digital Officer, Isaac Lee. “I expect the addition of these digital-first media assets will help FMG exceed the demands of the young, cross-cultural influencers we serve.”
President and Chief Operating Officer of FMG, Felipe Holguin added: “The addition of these iconic digital-first brands give the Fusion Media Group an inimitable opportunity to scale across relevant content verticals and continue to serve key passion points for our audiences.”
UCI announced the formation of FMG earlier this year as the multi-platform destination for the new, rising American mainstream, delivering content that embodies the audience’s shared values and passion points across all platforms. FMG includes The Root, Flama, Univision Digital, Univision Music, as well as Univision’s interest in FUSION, El Rey Network, The Onion, The A.V. Club and ClickHole. FMG also includes Story House, a content development and production unit that produces original content for UCI’s portfolio of owned networks as well as third party networks and platforms.