M&A Deal Summary

The Reader s Digest Association Acquires Allrecipes

On March 31, 2006, The Reader s Digest Association acquired internet software and services company Allrecipes from Ropart Asset Management for 66M USD

Acquisition Highlights
  • This is The Reader s Digest Association’s 1st transaction in the Internet Software and Services sector.
  • This is The Reader s Digest Association’s 3rd largest (disclosed) transaction.
  • This is The Reader s Digest Association’s 4th transaction in the United States.
  • This is The Reader s Digest Association’s 1st transaction in Washington.
Investment Fate
  • Allrecipes was divested to a consortium of strategic buyers in 2012 for 175M USD.

M&A Deal Summary

Date 2006-03-31
Target Allrecipes
Sector Internet Software and Services
Buyer(s) The Reader s Digest Association
Sellers(s) Ropart Asset Management
Deal Type Add-on Acquisition
Deal Value 66M USD

Target

Allrecipes

Seattle, Washington, United States
Allrecipes, Inc. is a provider of food ideas and resources, including recipes, meal ideas, meal preparation tips, nutrition analyses, shopping lists and recipe-scaling tools, culinary ware, and news. Allrecipes was founded in 1997 and is based in Seattle, Washington.

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Buyer(S) 1

Buyer

The Reader s Digest Association

White Plains, New York, United States

Category Company
Founded 1922
Sector Publishing
Employees4,700
Revenue 2.4B USD (2006)
DESCRIPTION

Reader's Digest creates and delivers products and content for books, magazines, recorded music collections, DVD and video, and websites. The company sells its products in more than 70 countries and its magazines reach well over 100 million readers globally.


DEAL STATS #
Overall 4 of 4
Sector: Internet Software and Services M&A 1 of 1
Type: Add-on Acquisition M&A Deals 4 of 4
State: Washington M&A 1 of 1
Country: United States M&A 4 of 4
Year: 2006 M&A 1 of 1
Size (of disclosed) 3 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2002-05-22 Reiman Holding Company

Greendale, Wisconsin, United States

Reiman Holding Company LLC is a publisher of consumer magazines and related books, including the magazines Taste of Home and Quick Cooking, which are two of the largest cooking magazines in the U.S. based on circulation.

Buy $760M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2008-11-14 Books are Fun

Louisville, Colorado, United States

Books are Fun sells books and other products through a network of retailers including hospitals, independent retailers, and schools. The Company was formed in 1991.

Sell $18M

Seller(S) 1

SELLER

Ropart Asset Management

Greenwich, Connecticut, United States

Investor


Category Private Equity Firm
Founded 2001
Size Small
Type Sector Agnostic
DESCRIPTION

Ropart Asset Management (RAM) is a private equity firm that provides both debt and equity capital to small and middle market companies. RAM segments its investment activity between platform investments, mezzanine situations, and growth capital financings. For platform investments, RAM requires control and targets generally targets businesses with recurring revenue ($10 to $150 million) and clear opportunities for value-added change. The Firm generally looks to invest $3 to $15 million in businesses valued up to $100 million. Areas of interest include business services, industrial services, direct marketing, software/technology, consumer products, value-added distributions, infrastructure/logistics, human capital, hobbies/crafts, franchisors, financial services and healthcare services. Ropart Asset Management was founded in 2001 and is based in Greenwich, Connecticut.


DEAL STATS #
Overall 3 of 16
Sector: Internet Software and Services M&A 1 of 1
Type: Add-on Acquisition M&A Deals 2 of 15
State: Washington M&A 1 of 2
Country: United States M&A 3 of 16
Year: 2006 M&A 1 of 1
Size (of disclosed) 2 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2006-03-01 DeerTech

Pleasantville, New York, United States

DeerTech is a service company that provides ‘Three Circles of Protection’ to protect plants, gardens, and landscaping from deer damage. The Company’s combination of patented ultra-sound, proprietary spraying program, and sprays is far superior to fencing or other methods. The Company currently provides service in the high deer population areas of New York, (Westchester and Long Island), Southern Connecticut, New Jersey, Eastern Pennsylvania, and Delaware.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2007-05-09 Digital Traffic Systems

Albuquerque, New Mexico, United States

Digital Traffic Systems, Inc. is a designer, installer, and services of critical infrastructure and technology for intelligent transportation systems, security, and facilities management. The company currently operates in Virginia, New Mexico, and Arizona, providing services to federal, state, and municipal governmental entities, and commercial and infrastructure facilities. Digital Traffic Systems was founded in 1999 and is based in Albuquerque, New Mexico.

Buy -