Following a flurry of speculation that began late last week, Lycos Inc. confirmed Monday it was acquiring MetroSplash, owner of Matchmaker.com.
The purchase of the personal classifieds site is valued at about $44
million in
cash, plus the assumption of matchmaker.com’s
stock option plan.
The purchase expands Lycos’s offerings, increases the
frequency and duration of visits to its network and adds to the company’s
overall revenues, according to Bob Davis, president and chief executive
officer of Lycos.
“The acquisition will further strengthen our
community offering and will be a great addition to our network of leading
Web brands,” Davis said. “With Matchmaker.com,
Quote.com and Gamesville.com, the Lycos Network will
own three of
the stickiest sites on the Internet.”
Matchmaker.com is designed to help foster relationships. The site is
organized by metropolitan area and affinity groups, and each member fills
out a comprehensive questionnaire
and can upload pictures to the site.
Tools, including search, browsing,
compatibility function, email and chat, are offered to help the user hone in
on the
people they want to get to
know.
The acquisition is expected to close in Lycos’s first fiscal quarter and
is
subject to the approval of
Metrosplash’s shareholders. Matchmaker.com will be relocated from Dallas to
Lycos’s Waltham, Mass., headquarters.
The purchase marks the latest in a string of deals executed in recent
years by Lycos. Lycos itself is being acquired by Terra Networks of Spain in a multibillion-dollar transaction.