Bingo!!!
chicagotribune.com
Tribune, Knight Ridder buy
Headhunter.net
The Associated Press
Published August 24, 2001, 11:14 AM CDT
NEW YORK -- Newspaper publishers Knight Ridder
and Tribune Co. are expanding their presence in the
online recruitment business, paying $200 million for
Headhunter.net and combining it with their jointly owned CareerBuilder Inc.
The combined company will reach more than 5 million customers and provide
recruitment opportunities to 25,000 companies, Knight Ridder and Tribune Co.
said in a statement announcing the deal today.
Knight Ridder and Tribune Co. bought CareerBuilder last September to gain a
bigger piece of the advertising market for job recruitment.
The new combination will put CareerBuilder in a better position to compete with
Monster.com, the nation's leading online job advertising firm, CareerBuilder's chief
executive Rob McGovern said in a statement.
Under terms of the deal expected to be completed late this year or early next
year, Knight Ridder and the Tribune Co. will pay $9.25 in cash for each
Headhunter share, a premium of 33 percent over its closing price of $6.95
Thursday.
"The acquisition of Headhunter will enable us to continue building our share of the
fastest-growing segment of that market -- online recruitment advertising -- while
maintaining our leadership position in print," John Madigan, Tribune's chairman
and chief executive, said in a statement.
Headhunter.net shares soared $2.21, or 31.8 percent, to $9.16 Friday morning on
the Nasdaq Stock Market. Shares of Knight Ridder dropped 2 cents to $62.08 on
the New York Stock Exchange, while Tribune Co. shares fell 7 cents to $40.13.
In September, both Knight Ridder and Tribune Co. will begin branding their
newspaper recruitment advertising as CareerBuilder help wanted sections.
The Chicago Tribune, Los Angeles Times, Newsday, Philadelphia Inquirer, The
Morning Call (Allentown, Pa.), The San Jose Mercury News, The Miami Herald,
The South Florida Sun Sentinel, The Kansas City Star, and The Ft. Worth Star
Telegraph will unveil the special CareerBuilder print sections in Sunday editions
beginning Sept. 30. Other Knight Ridder and Tribune Co. newspapers will follow
on consecutive Sundays throughout October.
"We want to provide best of breed solutions for employers and jobseekers taking
full advantage of both online and print media," said Tony Ridder, Knight Ridder's
chairman and chief executive. "We have now brought together market leaders in
print with the best of the online recruitment sources." |
