1 Comment

Summary:

Search engine and portal operator Lycos has been sold to Indian digital marketing firm Ybrant Digital by South Korea’s Daum Communications f…

Lycos

Search engine and portal operator Lycos has been sold to Indian digital marketing firm Ybrant Digital by South Korea’s Daum Communications for $36 million. That’s significantly less than the $95 million Daum paid for Lycos in 2004. The agreement calls for Ybrant to purchase all of Daum’s stock in Lycos in an all-cash deal.

Although Lycos has been around since the early days of the dot-com era, its brand has become lesser known in the west, especially as it sliced and sold off parts of its European business over the past few years.

For Ybrant, which was on an acquisition binge last year, the brand, and its diminished presence outside of India, still means something. Daum said that by unloading Lycos, it will be better able to concentrate on its own search, mobile and map services. Release

You’re subscribed! If you like, you can update your settings

  1. It should be noted that what Daum sold is a fraction of what it bought in 2004 and thus the purchase price is not really 38% of the original price. Over the last 5 years, Daum was able to sell off many non-core business divisions of Lycos and therefore recoup a lot of its initial investment. It sold Lycos’ Quote.com (and ragingbull.com) and Wired.com businesses for a combined $55 million in 2006. It also sold Matchmaker.com, Getrelevant.com and Webmonkey.com in smaller transactions. Thus, all told Daum has now sold various parts of Lycos and Lycos itself for a around the same amount of money it spent to acquire Lycos in 2004. if anything, Lycos itself has held its value since 2004, and was profitable in 2009 and will be very profitable in 2010. Not only has Lycos survived, it is now innovating again. People should look at tripod.com. It’s been completely revamped, and is now using Lycos’ proprietary webon technology for web-building.

Comments have been disabled for this post