Forbes explores sale after failed SPAC deal

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Forbes, the chronicler of the rich and powerful, said it tapped investment bank Citigroup to explore a sale of its business after a previous IPO deal fell through.

In recent weeks, an offering document outlining Forbes’ financial statements compiled by Citi was distributed to media companies, including Yahoo, three of the people said, who would speak only anonymously because the communication was private. . According to the document, Forbes generated more than $200 million in revenue and more than $40 million in profits in 2021, two of the people said.

The New York Times reported Tuesday that Forbes is considering a sale.

People said Forbes is considering a sale at a price of at least the $630 million it said when it went public through the Special Purpose Acquisition Company, or SPAC – although he cannot be sure that he will get this award. Forbes dropped that plan this year.

Trade publications have been popular targets for marketers in recent years because they can attract high-net-worth advertisers and subscribers. The Dow Jones unit of News Corp, which publishes the Wall Street Journal, acquired Investor’s Business Daily last year, citing the company’s growing research activity. Red Ventures, a private equity-backed digital media company, acquired Bankrate, a finance-focused publisher, for $1.4 billion in 2017.

Yahoo owns Yahoo Finance, a popular online destination for financial news and information, and was sold to private equity firm Apollo for $5 billion last year. Since then, he has focused on developing his many products, including Yahoo Mail and Yahoo Sports.

Forbes canceled its agreement to go public via a SPAC in May, amid a cooling in investor appetite for the once-popular financial instrument.

Founded as a magazine in 1917, Forbes is known for its ranking of wealthy businessmen. Last year, Forbes said it reached more than 150 million people through its journalism, events and marketing programs. The Forbes family sold a majority stake in the company to Integrated Whale Media Investments in 2014.

Forbes still publishes a print edition eight times a year in the United States and has 45 licensed local versions covering 76 countries.

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