Archive for February 4th, 2010
Monster acquires HotJobs
Posted by JasonWith Monster.com controlling 1/3 of online job postings, they announced their eating one of two main competitors, HotJobs. The deal is expected to close the 3rd quarter of this year.
Monster also plans on doubling the number of newspapers that it works with to about 1,000 for online job postings and advertising.
Background:
Yahoo acquired HotJobs in 2002 for roughly $445 million in cash and stock. One analyst stated that unique users on the HotJobs site in December declined 32 percent year over year, in a note to investors citing data from comScore.
Yahoo’s sale of HotJobs, which had been rumored for months, is the latest example of the Internet company’s reorganization under CEO Carol Bartz who took the helm in January 2009.
Under the terms of the deal, Monster will pay Yahoo $20 million to $31 million a year for Yahoo to redirect traffic to its site. How does the revenue compare between the two job boards? HotJobs generates annual revenue of about $100 million. Monster’s 2009 revenue totaled $905 million.
It is not clear yet what impacts this deal will have on HotJobs’ employees, for Recruiters, or Candidates yet many have stated the consolidation will be beneficial on many fronts.
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