SEL: InterActiveCorp to Buy Ask Jeeves for $1.9 Billion

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Search marketing in the new media era.

March 21, 2005

InterActiveCorp to Buy Ask Jeeves for $1.9 Billion

I can't leave the country for 2 minutes!

ZDNet is reporting that IAC will today announce the acquisition of Ask Jeeves in a deal worth $1.9 billion.

IAC/InterActive owns a variety of internet businesses. Its principle holdings are Expedia, Ticketmaster, Home Shopping Network, Match.com and CitySearch.

IAC/InterActive is expected to acquire Ask Jeeves in a stock transaction, exchanging shares in IAC/InterActive for shares in Ask Jeeves then buying 60 percent of the just-issued IAC/InterActive shares back for about $1.2 billion.

Wow, that's pretty big shake-up in the industry and also huge validation for not only Ask Jeeves but the entire search engine space. IAC can now pair-up its local search business, CitySearch, with the global search engine reach offered by Ask. Jeeves also stands to benefit from the technology IAC has at its other divisions.

Andy Beal | permalink | +marktd |

...the search industry queries new media