Deal done: classifieds websites to merge
Digital brands DoneDeal.ie and Daft.ie are to be merged under a joint venture agreement struck between their current owners.
The new combined business will be owned 50/50 by Norway's Schibsted Media Group, which is contributing its wholly owned Irish classifieds unit DoneDeal.ie to the venture, and by Irish group Distilled Media, which is adding Adverts.ie as well as its Daft.ie property website to the new group. Distilled Media's other business, including the Boards.ie internet forum, is not included in the deal.
The new company will operate across the general small-ads, car and property classified advertising segments in Ireland.
Following the deal DoneDeal.ie, Adverts.ie and Daft.ie will continue to operate independently and to be run by their respective managements. However, the joint venture is expected to generate synergies, including within advertising sales and marketing investments, according to a statement issued by Schibsted Media Group.
Eamonn Fallon, who co-founded Distilled Media with his brother Brian, will head up the new business, which is made up of units that had combined sales in the first half of this year of €9.4m, Schibsted said in a statement.
Oslo-based Schibsted operates media businesses in 30 countries. It bought a majority stake in DoneDeal.ie in 2011 that it has since increased to full ownership. Distilled Media was set up by Dubliners Brian and Eamonn Fallon, US fund Tiger Global was a minority shareholder in the Irish business prior to the new joint venture.