oOh!Media has finally found a buyer for Junkee Media with Australian Geographic owner RACAT picking up the business.
RACAT Group, who also own TV production group Northern Pictures, has agreed to terms to acquire Junkee Media which has been struggling to hold onto its youth audience.
Jacanda Capital, which was selling Junkee on behalf of oOh!Media, was asking for between $6 million to $10 million is believed to have let the business that was acquired for over $14M go for just $3 million.
The AFR claims that Junkee Media CEO Neil Ackland will remain at oOh!Media after the sale.
Under the new owners, Junkee Media will be headed up by Piers Grove, the publisher of The Betoota Advocate.
“Our mission at RACAT is to own and operate media companies that in one way or another add something to our world and Junkee does exactly that,” he said.
“We are huge fans of Junkee’s brands, its loyal audiences and the huge array of content it delivers every day. We value the exceptional team that make Junkee the go-to news and entertainment source for millions of young Australians every month.”
Several media players, including Mamamia, Here There & Everywhere and Guardian Australia ran a ruler over Junkee, but all dropped out after getting a look at the books.
oOh!Media bought an 85 per cent stake in Junkee Media from founders Mr Ackland and Tim Duggan for $11.1 million in June 2016 before buying the remaining 15 per cent several years later for a rumoured $4M.
