TheStreet Acquires The Deal
NEW YORK, Sept. 12, 2012—TheStreet, Inc. (Nasdaq:TST), a leading digital financial media company, today announced that it has completed the acquisition of The Deal LLC from Wasserstein & Co.
Founded in 1999 as The Daily Deal print newspaper, The Deal LLC transformed its business into a digital subscription platform that delivers sophisticated coverage of the deal economy, primarily through The Deal Pipeline, a leading provider of transactional information and services. The Deal Pipeline was created for organizations seeking to generate deal flow, improve client intelligence and enhance market knowledge. It provides full access to 100-plus pieces of proprietary commentary, analysis and data produced every day by The Deal's editors and journalists and can be customized based on each client's job function, deal focus and workflow and delivered straight to a mobile device or existing corporate platform.
The acquisition of The Deal will advance the strategic objectives of TheStreet by increasing both subscribers and content. The Deal's marquee customer base of 40,000 professionals, including senior-level bankers, law firm partners, private equity partners and hedge fund notables provides substantial predictable recurring revenue with high renewals and attractive margins and has continued to grow despite the deep cyclical downturn in the M&A market.
The content-creation and marketing resources of The Deal and TheStreet will be leveraged to create new revenue opportunities for the combined company. Specifically, The Street's buy-side newsroom content will be incorporated into The Deal Pipeline to accelerate sales to hedge funds, TheStreet's Chat-on-the-Street product will be added to the product set sold by The Deal's enterprise sales force, The Deal Pipeline will be marketed across the entire network of The Street, creating a substantial increase in qualified leads, and The Deal's content-rich offering, such as webinars, will be offered to TheStreet's customers. These strategic and operational opportunities, when added to significant corporate synergies, will be accretive to TheStreet's consolidated adjusted EBITDA.