WASHINGTON: AOL Inc has agreed to purchase The Huffington Post, the influential and rapidly growing news, analysis and lifestyle website, for $315 million, the U.S. Internet company announced on Monday.
The move will create a media group that will have a combined base of 117 million visitors a month in the United States, and reach 270 million people globally, AOL said in a statement.
Arianna Huffington, co-founder and editor in chief of The Huffington Post, will lead a newly formed The Huffington Post Media Group, which will integrate all Huffington Post and AOL content, AOL said in a statement.
Approximately $300 million will be paid in cash in the purchase that has been approved by the boards of directors of both companies and shareholders of The Huffington Post, it said.
The deal, expected to be closed in the late first, or early second quarter of 2011, will combine AOL's infrastructure and scale with The Huffington Post's pioneering approach to news and innovative community building, AOL said.
"The acquisition of The Huffington Post will create a next-generation American media company with global reach that combines content, community, and social experiences for consumers," said Tim Armstrong, Chairman and CEO of AOL.
"Together, our companies will embrace the digital future and become a digital destination that delivers unmatched experiences for both consumers and advertisers," he said.
AOL said the acquisition will accelerate its strategy to deliver an array of premium news, analysis and entertainment.
"By uniting AOL and The Huffington Post, we are creating one of the largest destinations for smart content and community on the Internet," said The Huffington Post's co-founder and chairman, Kenneth Lerer.
The Huffington Post, which began in 2005, has grown into one of the most heavily visited news Web sites in the United States. (Reporting by Sakthi Prasad in Bangalore; Editing by Vinu Pilakkott and Anthony Boadle)
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