Demand Media buys Pluck Corp
By Kenneth Li
NEW YORK (Reuters) - Demand Media, run by former MySpace Chairman Richard Rosenblatt, said on Tuesday it has purchased Web media syndication company Pluck Corp, as part of an expansion of its Internet social media business.
A source familiar with the matter said the Pluck deal was valued at between $50 million to $60 million.
Reuters is a customer and minority investor in Pluck.
Pluck said it operates the world's largest blog syndication network, called BlogBurst, that connects newspapers and other media sites to selected blogs.
"Pluck lets us spread social media across the Web," Demand Media Chief Executive Rosenblatt said in an interview.
Rosenblatt left MySpace after News Corp's 2005 purchase, and founded Demand Media.
Since 2006, Demand has acquired a collection of relatively unknown sites and relaunched them with social networking features and video capabilities that serve specific niche interests such as ExpertVillage.com that features "how-to" online videos.
In January, Rosenblatt's company struck a deal with the Lance Armstrong Foundation to create, Livestrong.com, a social network for health and fitness. Continued...