NEW YORK: The Nasdaq has entered into a definitive agreement to acquire PrimeZone Media Network. The deal is expected to close August 1.
Bruce Aust, Nasdaq EVP, said over the past few years the company has sought to offer value-added services to its listed companies. In January, it acquired Shareholder.com, an IR Web site and webcasting service.
"[Our issuers thought] it would be a natural for Nasdaq to have a press release distribution business," he said. "What we liked about PrimeZone is that they were innovative in the way they approach the market. They've built a great business."
Aust said it was too soon to determine how PrimeZone will be integrated into Nasdaq, but noted that PrimeZone's CEO Tom Madden and CFO Jeff Stacey would be key players going forward.
"They obviously know the business and the customers," he explained. "We feel like they'll help us take it to the next level."
PrimeZone is the third newswire company to be acquired this year. In January, Berkshire Hathaway bought Business Wire for $500 million and CCN Matthews acquired Market Wire for $30 million in April.