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As we were first to report in early April, Yahoo was on the verge of acquiring college sports network Rivals.com. It took a few months to complete, finally closing after months of digging through Rivals’ plethora of distribution contracts and a yes vote from the Yahoo board Tuesday. The terms aren’t being released but the amount is close to the $100 million we reported earlier. Back in April, we were told by executives dealing with online sports acquisitions that Rivals.com was worth $50-75 million in the context of sports media companies. FIM paid $60 million for competitor Scout.com in September 2005.
For Yahoo, it’s a substantial investment in media at a time when the company’s every move is under a microscope. Yahoo Sports is part of SVP Scott Moore’s portfolio. He explained the acquisition in an interview Wednesday:
— Moore describes Rivals as “extremely complementary to Yahoo Sports,” filling a collegiate sports gap. (Yahoo has been licensing content from Rivals.) “It’s about investing in our media leadership…. We’re doubling down on the media businesses [within our company].” As for the price, while he wouldn’t discuss details, when asked about the belief in some parts that $100 million is too much, Moore replied, “That’s always a subjective judgment