Discovery Communications is selling science website HowStuffWorks for US$45 million – a substantial loss on the $250 million the U.S. firm bought it for seven years ago.
According to a regulatory filing made Monday (April 21) with the U.S. Securities and Exchange Commission, digital media company Blucora and its subsidiary InfoSpace are paying $45 million to acquire HowStuffWorks, its assets, IP, personnel and related sites and content. The all-cash transaction is expected to close in the second quarter of this year.
As part of the transaction, Discovery will retain access to HowStuffWorks video assets that have already been produced — for instance, the Stuff Mom Never Told You podcast content (pictured above) — as the company continues its strategic shift toward video content on digital platforms like Revision3, SourceFed, Animalist and TestTube.
Discovery will also partner with Blucora and HowStuffWorks to see through the native advertising deals that have already been made with key, larger clients.
Founded in 1998 and acquired by Discovery in 2007, HowStuffWorks offers explanations for how the world works across thousands of topic areas. The multi-platform content creator generates approximately 200 million page views and 38 million unique visitors per month, according to Discovery.
Upon completion of the acquisition, HowStuffWorks will become part of Blucora’s InfoSpace business, a provider of white label search and monetization solutions.