Monster Worldwide Inc. (Nasdaq: MNST) has acquired Affinity Labs Inc., a South San Francisco-based operator of online professional and vocational communities like PoliceLink.com and TheApple.com. The deal was valued at $61 million in cash, with Goldman Sachs advising Monster. Affinity Labs had raised a $6.25 million Series A round in late 2006 from Mayfield Fund and Trinity Ventures.
Monster Worldwide, Inc. (NASDAQ:MNST) today announced a strategic acquisition that will increase its presence in several professional and vocational online communities. As part of its longer-term growth strategy, Monster has acquired Affinity Labs Inc., a development stage company that operates a portfolio of professional and vocational communities for people entering, advancing and networking in certain dedicated occupations. Affinity's network of vertical community sites will provide Monster's overall user and job seeker base relevant content and community features while enabling the Company to increase its online advertising services to a larger, targeted customer base.
Sal Iannuzzi, Monster's Chairman and Chief Executive Officer, said, “We believe Affinity's model complements the core Monster business and significantly enhances our presence in key verticals within the online vocational and networking market. Our investment in Affinity provides Monster with an efficient vehicle for developing future revenue streams in vibrant career fields while permitting us to actively invest in product, technology and brand support in our core business. The addition of Affinity Labs to the Monster family will benefit both job seekers and customers in the vertical markets where Affinity operates.”
Affinity uses a technology platform that allows for rapid development cycles and scalability in servicing multiple high growth career fields. Currently, Affinity operates 7 professional and career oriented networks that include law enforcement, healthcare, education, government and technology. The combination of Monster and Affinity Labs will enhance Monster's service offering to job seekers by providing highly relevant content through career guides, industry job searches, trade news and social networking. Employers will also benefit by having efficient access to a targeted pool of job candidates in desirable career fields. Monster and Affinity were parties to an agreement, signed early in 2007, that leveraged Monster's advertising sales force and allowed job seekers access to Affinity's portfolio of sites when registering for a MyMonster account.
Affinity Labs is led by Christopher Michel, the founder of Military.com, which was acquired by Monster in 2004 and has become the leading vertical portal for military personnel and their families. Mr. Michel will join the Monster leadership team and report directly to Mr. Iannuzzi.
The purchase price for the transaction was approximately $61 million in cash. The Company does not anticipate the acquisition having a material impact on financial results in 2008. Monster was advised by Goldman, Sachs & Co. on the transaction.
About Monster Worldwide
Monster Worldwide, Inc. (NASDAQ: MNST), parent company of Monster(R), the premier global online employment solution for more than a decade, strives to bring people together to advance their lives. With a local presence in key markets in North America, Europe, and Asia, Monster works for everyone by connecting employers with quality job seekers at all levels and by providing personalized career advice to consumers globally. Through online media sites and services, Monster delivers vast, highly targeted audiences to advertisers. Monster Worldwide is a member of the S&P 500 Index and the NASDAQ 100. To learn more about Monster's industry-leading products and services, visit www.monster.com. More information about Monster Worldwide is available at www.monsterworldwide.com.
About Affinity Labs, Inc.
Founded in 2006, Affinity Labs operates a portfolio of professional and vocational communities for people entering, advancing and networking in today's fast-growing career fields. The company is backed by The Mayfield Fund and Trinity Ventures. The current sites operated are as follows:
— PoliceLink: www.policelink.com
— FireLink: www.firelink.com
— GovCentral: www.govcentral.com
— NursingLink: www.nursinglink.com
— ArtBistro: www.artbistro.com
— TechCommunity: www.techcommunity.com
— TheApple: www.theapple.com