NEW YORK >> In a move designed to position itself as a market leader in social publishing, DraftDay Fantasy Sports Inc. has agreed to acquire Rant, Inc., a leading digital publisher.
DraftDay has agreed to purchase Rant for $5 million in cash and shares of DraftDay common stock equal to between 20-to-24 percent of the fully diluted shares outstanding, according to Marketwired.
Because the agreement is subject to a number of conditions that must be satisfied by each of the parties, there is no assurance that the proposed terms may not be changed or that any transaction may be consummated.
DraftDay Fantasy Sports operates Wetpaint.com, the leading online destination for entertrainment news for millenial women, and is also the largest shareholder of DraftDay Gaming Group. Rant publishes original content in 13 different verticals, most notably in sports, entertainment, pets, cars and food.
Millions of viewers
In their best months combined, Wetpaint and Rant have received over 50 million monthly visitors to their properties.
The combined properties currently have approximately 15 million fans on their Facebook pages and generate up to 300 million video views per month. Wetpaint and Rant will have an editorial team of 30 writers and will be able to draw upon content from more than 400 pre-screened writers.
"The merger of Wetpaint and Rant creates a formidable entrant in the exploding social publishing realm," said Robert F.X. Sillerman, Wetpaint's executive chairman and CEO.
"While each enjoys unique and often unparalleled reach and access, together they create a broad and highly relevant source of must read content for highly desirable audiences," He said. "Leap frogging into the upper echelon of a growing market, we fully expect this to be the spring board for more growth and acquisitions."
Rant has delivered up to 11 monthly visits per visitor across its network, twice as much as industry leaders Buzzfeed and Vox in some months.
According to AdWeek, Rant's flagship RantSports.com property was ranked first by Quantcast for target digital ad buying for the 2015 holiday season, which indicates the power of reaching a targeted audience.
"We are excited to further accelerate our growth in social publishing and digital media through the combination of Rant and Wetpaint," said Rant Inc.'s founder and CEO Brett Rosin.
"Wetpaint's social distribution platforms, and both teams' ability to create innovative and engaging content will create a phenomenal opportunity for users and advertisers alike," Rosin said.