This deal will be the first of many in the fast growing personal finance and travel markets as we execute our strategy of building a major internet media and marketing business.
London (PRWEB) January 22, 2007
Creditcardexpert is a comprehensive guide highlighting the best deals available and giving general credit card tips to consumers. It provides information on most major credit cards including Barclaycard, American Express and MBNA.
MediaCorp CEO Justin Drummond said: "The acquisition broadens and strengthens our portfolio of sites on the Internet and is key to our strategy.
"The deal also offers good synergies for us. Creditcardexpert previously used a competitor of our own Search Focus division for its paid search advertising.
"In addition, eyeconomy, our online media agency business, provides creative input and unique technological solutions for vertical search and it has its main advertising client base in the personal finance market."
Eyeconomy has two well-tested on-line ad solutions that engage Internet users through a network of over client 750 host sites, offering access to a total reach of 30 million unique users every month.
It has an exit traffic solution called SubSites (including options in the rapidly growing video space) that is used by Yahoo! Search Marketing among others, and its own unique rich-media floating toolbar called SubLines.
MediaCorp acquired creditcardexpert.co.uk through the buy out of its parent company Result Online for an initial payment of £1.57 million and earn outs of 25% of adjusted pre-tax profits to end September 2009 based on the business achieving pre-tax profit targets, capped at £1.5 million.
The London Stock Exchange listed Media Corp's after-tax profit soared by 660% to £2.5m in the year to end September this year compared to 2005 and its cash balance almost doubled to £5.3 million, providing the resources for both organic growth and further acquisitions.
"The characteristics of the personal finance market are almost identical to the gaming industry, where our strong vertical search portal gaming.com has done so well, in that customer acquisition costs and customer churn are both very high. This makes these markets particularly attractive for Media Corp's search advertising business," Mr Drummond said.
"This deal will be the first of many in the fast growing personal finance and travel markets as we execute our strategy of building a major internet media and marketing business."
Creditcardexpert.co.uk generates income through affiliate deals where credit card operators pay for credit card applications and related cost per click search advertising.
Media Corporation plc
Justin Drummond, Chief Executive Officer
+44 (0)20 7618 9000
Note to editors:
Listed on the London Stock Exchange, Media Corp, is a leading internet media and advertising company focused on search, publishing and media sales. The company has two other principal divisions:
- Publishing - Media Corp has a diverse publishing division ranging from online to printed media. Our impressive stable of websites includes a number of market leading sites including http://www.onthebox.com, http://www.casino.co.uk.
- Search - The vertical search specialists - building sector specific search engines for advertisers to communicate in a highly targeted environment with their particular audience. All of our Search and Media products are powered by its own high performance proprietary technology. It can therefore partner with online businesses to offer "White Label" services across a number of key vertical markets.
- Eyeconomy was formed in 1996, and is a separate operating division of Media Corp plc. It specialises in the various sectors of online marketing and advertising, such as online media planning and buying, as well as managing online media campaigns for clients including AOL, Dell and American Express.