G/O Media Hangs ‘For Sale’ Signal Throughout Its Portfolio

“They bought Lifehacker, made return and need to get out,” in response to an individual conversant in the matter.

A roll-up gone improper

G/O Media is a comparatively small acquisition by Nice Hill requirements, which regularly invests between $50 million to $75 million in corporations whose companies develop to round $200 million, in response to a supply.

The personal fairness agency initially hoped to scoop up the Gawker and Univision belongings for reasonable, put money into the manufacturers and promote them for a revenue, sources stated. The technique, a linchpin of the personal fairness playbook, usually happens over a time horizon of three to 5 years, inserting G/O Media close to the top of that timeframe.

As an alternative, the media firm has endured a ceaseless stream of inner turmoil. Tradition clashes, for instance, have roiled throughout the firm round its return-to-office coverage, as G/O Media operates workplaces in Chicago, Los Angeles, and New York. 

This yr, head of video Garth Bardsley and AV Membership editor-in-chief Scott Robson have left the corporate, departures that haven’t been beforehand reported.

Persistent criticisms of CEO Jim Spanfeller, who has led the corporate since its inception, have additionally led to excessive charges of turnover. In 2023 alone, 5 editors-in-chief, in addition to editorial director Merril Brown, left the corporate. 

Unions are key variables

As G/O Media works to promote The Onion, the union contract defending the writer stays a key variable. The contract expires on the finish of this month, in response to two sources.

When G/O Media initially moved to promote Jezebel, its union contract difficult the trouble, as potential suitors must honor it, in response to a supply. Solely after G/O Media shuttered Jezebel, in November, was the feminist writer capable of finding a purchaser.

Actually Media, which has amassed a portfolio of comedy manufacturers and not too long ago acquired Mel Journal, has been floated as a possible house for the model, in response to two folks conversant in the matter. Actually Media didn’t reply to a request for remark.

“I’d say there is a little more reasonableness about worth recently,” stated one individual conversant in the gross sales efforts. “You should purchase something.”