Oct 7, 2019

Group Nine Media to acquire POPSUGAR Inc.

Group Nine Media said Monday that it has reached a definitive agreement to acquire POPSUGAR Inc., a lifestyle digital media company that caters to millennial women, in an all-stock transaction.

Why it matters: It's the latest media mega-merger between two venture-backed companies that are looking to consolidate for survival. Vice Media acquired Refinery29 last week for a reported $400 million.

By the numbers: The acquisition values POPSUGAR at $300 million and the combined company at $1 billion, per the Wall Street Journal.

  • Group Nine recently raised $50 million from Discovery, bringing its total amount raised to $190 million at a valuation of over $600 million, per the Journal.

Yes, but: Private company valuations exist only because certain investors say they do at a certain point in time. There's no guarantee an acquirer or the public market will agree. 

Details: According to a statement, the purpose of the merger is to give the combined company more scale for selling digital ads. It will also help Group Nine build its commerce and events businesses.

  • Group Nine will acquire POPSUGAR's commerce business, its affiliate marketing business POPSUGAR Shop, and its popular event franchise POPSUGAR Play/Ground.

Be smart: POPSUGAR has remained relatively below the radar, given all the recent talk about media mergers over the past few months.

  • In a statement, POPSUGAR founder and CEO Brian Sugar said the company has reached profitability over the past few years.

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The wreckage of summer

Illustration: Sarah Grillo/Axios

We usually think of Memorial Day as the start of the summer, with all of the fun and relaxation that goes with it — but this one is just going to remind us of all of the plans that have been ruined by the coronavirus.

Why it matters: If you thought it was stressful to be locked down during the spring, just wait until everyone realizes that all the traditional summer activities we've been looking forward to are largely off-limits this year.

Coronavirus dashboard

Illustration: Aïda Amer/Axios

  1. Global: Total confirmed cases as of 8 a.m. ET: 5,428,605 — Total deaths: 345,375 — Total recoveries — 2,179,408Map.
  2. U.S.: Total confirmed cases as of 8 a.m. ET: 1,643,499 — Total deaths: 97,722 — Total recoveries: 366,736 — Total tested: 14,163,915Map.
  3. World: White House announces travel restrictions on Brazil Over 100 cases in Germany tied to single day of church services.
  4. Public health: Officials are urging Americans to wear masks over Memorial Day.
  5. Economy: White House economic adviser Kevin Hassett says it's possible the unemployment rate could still be in double digits by November's election.
  6. Federal government: Trump attacks a Columbia University study that suggests earlier lockdown could have saved 36,000 American lives.
  7. What should I do? Hydroxychloroquine questions answeredTraveling, asthma, dishes, disinfectants and being contagiousMasks, lending books and self-isolatingExercise, laundry, what counts as soap — Pets, moving and personal healthAnswers about the virus from Axios expertsWhat to know about social distancingHow to minimize your risk.
  8. Other resources: CDC on how to avoid the virus, what to do if you get it, the right mask to wear.

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Updated 5 hours ago - Politics & Policy

U.S. coronavirus updates

Data: The Center for Systems Science and Engineering at Johns Hopkins; Map: Andrew Witherspoon/Axios. This graphic includes "probable deaths" that New York City began reporting on April 14.

The CDC is warning of potentially "aggressive rodent behavior" amid a rise in reports of rat activity in several areas, as the animals search further for food while Americans stay home more during the coronavirus pandemic.

By the numbers: More than 97,700 people have died from COVID-19 and over 1.6 million have tested positive in the U.S. Over 366,700 Americans have recovered and more than 14.1 million tests have been conducted.