Thursday, May 28, 2009

You've Got Screwed!

Posted By on Thu, May 28, 2009 at 9:00 AM

My nomination for worst media deal of all time: Time Warner buys AOL for $124 billion in 2000. Wasn't the tech bubble a fun time?

From Bloomberg today:

Time Warner Inc. will spin off the entire AOL Internet unit by the end of the year, reversing a failed $124 billion merger that triggered record losses.

AOL’s online advertising and Internet-access businesses will be separated into an independent, publicly traded company, New York-based Time Warner said today in a statement.

And:


Time Warner’s 95 percent stake in AOL is worth about $6.3 billion, including about $3.4 billion for the advertising business and $2.8 billion for the access division, David Joyce, an analyst with Miller Tabak & Co., estimated in a report yesterday.

When Google bought a 5 percent stake in AOL for $1 billion in 2005, it valued the unit at about $20 billion. Time Warner said last month it was in talks to buy back the stake. Google wrote down $726 million of the investment last year.

Comments

Subscribe to this thread:

Add a comment

Previously in the Range

More by Jim Nintzel

Today | Mon | Tue | Wed | Thu | Fri | Sat
Meditation and Buddhist study

Meditation and Buddhist study @ Sky Island Zen

Tuesdays, Saturdays

All of today's events | Staff Picks

Staff Pick

The Harry Potter Charity Ball

Strada Company presents a celebration and cosplay party of all things Harry Potter for the benefit of… More

@ Tucson Scottish Rite Cathedral Sat., July 29, 6-10 p.m. 160 S. Scott Ave.

» More Picks

Submit an Event Listing

Popular Content

© 2017 Tucson Weekly | 7225 Mona Lisa Rd. Ste. 125, Tucson AZ 85741 | (520) 797-4384 | Powered by Foundation