Meredith Corporation. (MDP) stock prices were up by 0.22% as of the market closing on October 6th 2021. This brought the price per share up to USD$54.55 at the end of the trading day. Subsequent premarket fluctuations have seen the stock surge by 6.42%, bringing it up to USD$58.05.
IAC to Acquire MDP Stock
October 6th 2021 saw IAC Corp. and MDP stock announce their entry into a strategic agreement. As per the agreement, IAC’s Dotdash digital publishing unit will acquire the entity that will hold Meredith Corp.’s National Media Group. MDP stock’s unit is comprised of its Digital and Magazine businesses, as well as its corporate operations. The transaction will be conducted entirely in cash, with a purchase price of USD$42.18 per share.
The partnership seeks to integrate the strength of Dotdash’s digital publishing model with MDP stock’s trust, iconic brand portfolio, loyal audience and scale. The combined entity will be called Dotdash Meredith and is expected to be a leading publisher in America. This will be facilitated by leading brands across the highest value commercial categories online. These include, but are not limited to, home, health, food, finance, parenting, and beauty. The closing of the transaction is expected by the end of the current year.
Strength of Partnering Company
The digital publisher Dotdash currently has a reach of roughly 100 million online customers on a monthly basis. Its catalogue of 14 media brands in health, finance, and lifestyle are among the fastest-growing media brands online. The partnering company has reported double digit revenue growth for the last 17 consecutive quarters. This stellar performance has been driven by a continued focus on superior content, strong, authoritative editorial voices, and respectful advertising.
MDP Stock Builds on Success
The combined company will represent decades of leadership in the creation of premium, award winning content that is consumed by tens of millions of users. The partnering company has grown its content investment over the course of the past four years, reflecting its commitment to quality user experiences, site speed, clean usable design, and limited ads.
Future Outlook for MDP Stock
The company reported a promising quarter, consolidated by its partnership with IAC Corp. MDP stock is keen to capitalize on the opportunities afforded as a result of the expanded scope resulting from the collaboration. Current and potential investors are hopeful that management will be able to leverage the resources at their disposal. This is hoped to facilitate significant and sustained increases in shareholder value.