WebMD Purchased By Internet Brands For $2.8 Billion
According to the 2017 IBBA Market Pulse Survey, retirement was the most common reason businesses were sold in the first quarter of the year. However, some offers really are just too good to refuse, and there have been a number of high-profile technology acquisitions so far this year.
Amazon stands out for their purchase of organic grocer Whole Foods for $13.7 billion earlier this year, and the trend of large purchases didn’t stop there.
Recently, Internet Brands, controlled by KKR, managed to purchase WebMD, a hugely popular internet medical site, for $2.8 billion in cash. The website is one of the biggest sites in the world for health-related information.
KKR owns a large portfolio of websites already, and in a large variety of fields. From subjects like automotive, health, home, travel, and legal support. They have assets in both business-to-business and business-to-customer and a share value of $66.50 per share.
Now, with the purchase of WebMD, they have acquired one of the most powerful assets in the online health world. But, according to the article, this was not a deal that was new by any means. It had been on the table for awhile.
The site, reportedly, had 100 different bids for its domain, and it had been for sale for a few months now.
The purchasing company, Internet Brands, makes its money through the monetization of the sites it controls. One way it does this is by providing information to healthcare businesses, helping them find customers. Through advertisements, it also helps customers find those businesses.
WebMD ranked 36 out of the top 50 websites that ComScore ranked, at least in the U.S., and gets some 71.7 million unique visitors a month. It’s the only website that deals with healthcare and medical care to make that list, and so it’ll be a powerful marketing tool for Internet Brands.
“WebMD and Medscape [a WebMD property] are the market leaders in online health with unparalleled reach to consumers and healthcare professionals,” said Bob Brisco, CEO of Internet Brands, in a statement. “Since its founding, WebMD has established itself as a trusted resource for health information. We look forward to delivering that resource to even more users, by leveraging our combined resources and presence in online healthcare to catalyze WebMD’s future growth.”