APN News and Media Limited (ASX:APN) has bought a majority stake in an eCommerce business called brandsExclusive. brandsExclusive is an online shopping club which partners with brands to offer exclusive sales to members and is understood to be on track to generate $70 million in revenues this year.
APN has paid $36 million for an 82 per cent equity stake, and an extra payment of up to $30 million is dependent on achieving earnings targets in 2013.
APN’s chief says the investment is expected to be one of the largest digital deals in Australia this year and will substantially ramp up APN’s digital revenue and earnings trajectory.
In the full 2011 calendar year APN News and Media booked a net loss of $18.9 million.
