{"id":113177,"date":"2021-04-29T19:45:56","date_gmt":"2021-04-29T19:45:56","guid":{"rendered":"https:\/\/fin2me.com\/?p=113177"},"modified":"2021-04-29T19:45:56","modified_gmt":"2021-04-29T19:45:56","slug":"exclusive-forbes-pursues-spac-talks-amid-new-takeover-interest-sources","status":"publish","type":"post","link":"https:\/\/fin2me.com\/markets\/exclusive-forbes-pursues-spac-talks-amid-new-takeover-interest-sources\/","title":{"rendered":"Exclusive: Forbes pursues SPAC talks amid new takeover interest – sources"},"content":{"rendered":"
NEW YORK (Reuters) – Business news and information publisher Forbes Media LLC is in talks to go public through a merger with a special purpose acquisition company (SPAC) as it attracts new acquisition interest, people familiar with the matter said on Thursday.<\/p> Forbes\u2019 owner is also fielding offers worth up to $700 million from bidders including a consortium led by tech investor Michael Moe and another offer from investment vehicle Borderless Services Inc, the sources said. Both of these bids would result in Forbes remaining a privately held company.<\/p>\n A deal could result in Forbes\u2019 ownership changing hands seven years after Hong Kong-based investor group Integrated Whale Media Investments purchased 95% of the company. The remainder of Forbes is owned by the Forbes family.<\/p>\n A proposed deal with a SPAC would take Forbes public on the U.S. stock market, enabling the existing owners to benefit from any share price increase on their remaining stakes.<\/p>\n The identity of the SPACs in talks with Forbes was not immediately clear.<\/p>\n A Forbes spokesman said: \u201cWe have no comment, but investors have consistently shown interest in Forbes, which has produced three years of record results. 2021 is shaping up to be a strong year as well.\u201d<\/p>\n Integrated Whale Media could not immediately be reached for comment. Moe and Borderless Services declined to comment.<\/p>\n Moe is founder and CEO of GSV Ventures. Borderless Services is an investment vehicle specializing in blockchain technology and is led by entrepreneur Patrick McConlogue.<\/p>\n The Borderless Services bid has a debt financing commitment from private equity firm Ares Management Corp, the sources added. Were it to acquire Forbes, Borderless Services would install a new management team and introduce cryptocurrency products such as a Forbes digital wallet, where users could manage digital currencies, some of the sources said.<\/p>\n Ares Management declined to comment.<\/p>\n The sources, who requested anonymity because the matter is confidential, cautioned it is still possible no deal for Forbes will materialize or another bidder could emerge.<\/p>\n Forbes joins other media companies including Bustle Digital Group and BuzzFeed in pursuing a SPAC deal. SPACs are shell companies that raise funds in an initial public offering with the aim of merging with a private company, which becomes public as result. In the past year, they have become a popular alternative to a traditional IPO.<\/p>\n Forbes was valued at $475 million in 2014 when Integrated Whale Media bought a majority stake in the company from the Forbes family and investment group Elevation. Chinese conglomerate HNA Group made an unsuccessful bid to acquire a majority stake in Forbes in 2017, Reuters reported at the time.<\/p>\n As one of the oldest media outlets in the United States, Forbes publishes its flagship magazine which reaches 6 million readers. Founded by B.C. Forbes in 1917, it has long championed capitalism and entrepreneurship and is known for its annual list of the world\u2019s wealthiest people.<\/p>\n The company has been undergoing a digital transformation amid declining print revenue. It has been doubling down on expanding key franchises like Under 30 and live events, most of which have become virtual during the COVID-19 pandemic. It says its digital platform now reaches more than 140 million people with 40 global editions.<\/p>\n