May 1 IAC/InterActiveCorp said on Monday
it would buy consumer review website operator Angie's List Inc
in a deal that values the company at about $500
Media mogul Barry Diller's IAC said it would combine Angie's
with its digital home services marketplace business,
HomeAdvisor, and create a publicly traded company ANGI
Investors in Angie's List would get one Class A common share
of the new company, or $8.50 in cash for each share held.
The offer represents a premium of 44.3 percent to Angie's
Angie's List shares were up 43.3 percent in after-market
trading on Monday, while IAC's stock was unchanged.
IAC, which holds a majority stake in Match Group Inc
, owner of Tinder and OKCupid, said the cash portion
would be capped at $130 million.
The Wall Street Journal first reported the deal, citing
IAC in November 2015 made an unsolicited bid to buy Angie's
for about $512 million in cash, after activist investor TCS
Capital Management urged the company to combine with an industry
player such as HomeAdvisor. (reut.rs/2pp8gxk)
(Reporting by Aishwarya Venugopal in Bengaluru; Editing by