[BusinessTeam] Brill Media Holdings and Powerful Media Merge

Message-ID: <6B75EF096AE0BE428B8CEDEA89C5F632782391@exchange01.lab49.com> · Tue Apr 03 13:13:33 2001 UTC

Brill Media Holdings and Powerful Media Merge 
NEW YORK (VENTUREWIRE) -- Brill Media Holdings, the parent company of 
Brill's Content magazine, and Powerful Media, publisher of the Inside.com 
and Inside magazine, announced they are merging. The agreement includes an

exchange of Powerful Media's assets for an equity stake in Brill Media 
Holdings. Financial terms of the deal were not disclosed by the companies,

but the New York Times reported that Brill will acquire Powerful Media for

a 
20% stake of the combined companies. The newly merged company also said it

expanded its partnership with Primedia, under which Media Central, a unit 
of 
Primedia, will get additional editorial services from the new 
Brill-Powerful 
combination. Under the deal, Primedia will have no funding obligations to 
Brill Media Holdings and will continue to hold its 49% stake in the 
company. 
A Brill spokesperson said there will be an undisclosed number of layoffs 
following the merger, though Inside.com reported cuts of up to 50% at both

Powerful Media and Brill's Content. In January Brill Media Holdings and 
Primedia announced that Media Central would be led by Mr. Brill and would 
consist of 170 media-related publications and conferences. Brill's Content

and Inside Magazine will now merge, forming Inside Content, to be 
published 
by Powerful Media. Both magazines will cease publication and relaunch as 
Inside Content later this year. In addition, the company will have two 
other 
main components: Inside.com, a portal that will now include material from 
Media Central's trade publications, data books and conferences; and Media 
Central's more specialized products including Folio, the Media Central 
monthly magazine industry publication. Powerful Media chairman and 
co-founder Kurt Andersen becomes vice chairman of Brill Media Holdings and

will share responsibility with managing general partner Steven Brill for 
the 
general oversight of the venture and will work on a television project for

the new company. Inside.com's editor-in-chief Michael Hirschorn will 
continue in his current position and become vice chairman of Brill Media 
Holdings and editorial director of Inside Content magazine. Powerful 
Media's 
CEO and third co-founder, Deanna Brown, will leave the company after a 
three-month transition period. Brill's Content editor-in-chief David Kuhn 
remains in that position at Inside Content, and will also serve as 
editorial 
director of Inside.com. Powerful Media's investors, including Flatiron 
Partners, J.P. Morgan Partners, Lehman Brothers Venture Partners, and Rho 
Management Ventures, and individual James Cramer will become partners in 
Brill Media Holdings. 
http://www.powerfulmedia.com 
http://www.primedia.com 

Ashley Ching 
nano 
212.430.3722 
ashley@nano.com 
www.nano.com 

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