news
Bebo bought by Criterion Capital
The social networking site, Bebo, has been sold by its parent company AOL to Criterion Capital –a turnaround specialist.
AOL bought the site two years ago for £575 million but decided to sell after Bebo failed to compete with Facebook and Twitter.
It is not yet known how much Criterion Capital paid for the site but it is believed to be a tiny fraction of the original price – with reports suggesting figures as little as £6 million.
Tim Armstrong, chief executive of AOL, commented on the new owner: "They are specialists in facilitating growth plans and turnarounds, and well placed to drive Bebo's effort to strengthen its foothold within the highly competitive social networking arena."
It is hoped that Bebo now stands a chance of recovery as AOL had threatened to shut the business down if it could not find a new owner.
Adam Levin, managing director of Criterion Capital, believes Bebo is an 'attractive social media platform'.
On June 15th, AOL launched a new music platform, which will allow advertisers to publicise their brands.
0 comments:
Leave your comment
Only available to logged-in IAB Members.
