Jay Penske’s Media Takeover Takes its Subsequent Step With a Main Funding in Vox Media

Jay Penske has quietly wolfed up dozens of leisure publications over time. Right this moment, the media govt has a foothold in almost each nook of the trade, from music (Penske Media Company owns BillboardRolling Stone, Vibe) to Hollywood (The Hollywood ReporterSelection, Deadline, IndieWire, TVLine, Gold Derby) to artwork (ARTnews, Artwork in AmericaArtforum) and vogue (Girls’s Put on Every day). PMC has additionally gotten into reside occasions, together with a controlling stake in Austin’s South by Southwest pageant. On Monday, Penske’s spree continued with a $100 million funding in Vox Media. “On account of the funding, Penske Media will personal about 20 p.c of Vox Media, making it the most important shareholder of the corporate,” the New York Occasions reported. Vox Media CEO Jim Bankoff stated in a reported be aware to workers that the 2 firms would “proceed to function individually” with “editorial and enterprise independence,” whereas including they’d companion commercially. “The Penske Media and Vox Media alliance will additional cement each firms as leaders in fashionable media and make the most of new alternatives at scale,” Penske stated in a press release. 

Vox Media, which owns editorial manufacturers like New York Journal, Vox, The Verge, and Eater, has itself been in acquisition mode in recent times. Final 12 months, Vox Media purchased Group 9 Media. dwelling to manufacturers like Thrillist and NowThis. Bankoff stated in a assertion that PMC’s funding “will enable Vox Media to proceed scaling its present manufacturers and operations, whereas offering assets for future acquisitions.” However the reported phrases of the deal values Vox at “simply half of what the corporate was price when NBCUniversal invested again in 2015,” when a $200 million funding spherical valued Vox at round $1 billion, Axios notes. That reportedly $500 million markdown comes as Vox Media, like many different media organizations, grapples with fallen advert income. Vox Media laid off about seven p.c of its workforce final month. 

The corporate could also be seeking to offload on a bigger scale: “Along with elevating funds, Vox Media has met with different media firms to debate potential acquisitions or gross sales of a few of its media properties,” in response to the New York Occasions. Penske, in the meantime, reveals no signal of slowing down, with a PMC subsidiary buying Dick Clark Productions, a reside leisure manufacturing firm, simply final month.  

Penske, who will be a part of the board of administrators at Vox because of the deal, is one thing of an enigma, so it’s arduous to foretell the place he’ll flip his consideration subsequent. The 44-year-old billionaire scion “avoids crimson carpet occasions, nearly by no means offers interviews and has no social media footprint,” because the Occasions’ Katie Rosman wrote final 12 months, in a chunk the place Penske was described by Stephen Galloway, a former THR govt editor, as “the Rupert Murdoch of leisure publications.” 

PMC, with all of its commerce publications, “has turn into a major touchdown spot for the tens of thousands and thousands spent yearly on Oscars and Emmys promoting,” in response to Rosman. Again in 2018, simply after PMC had acquired a 51 p.c stake in Rolling Stone, a media govt who’d hung out with Penske instructed my colleague Joe Pompeo that Penske, being a wealthy child with a self-made father, was “going to work tougher to show he earned this than anybody else on this scenario” and “additionally looks like he has much more cash in his favor. He runs his titles for profitability. I believe if he performs his playing cards proper, he can go from a B participant to an A participant.”

Supply By https://www.vanityfair.com/information/2023/02/penske-vox-media

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