Re: Jupiter Sold for $250K to Internet.com parent INT

From: Cliff Kurtzman <cliff_at_tenagra.com>
Date: Sat 22 Jun 2002 17:31:00 -0500

Rick E. Bruner <rick_at_e-summary.com> wrote:

>INT Media, parent of Internet.com, bought Jupiter Research
>for a mere $250,000 today, less than the price of a good
>one-bedroom apartment in Manhattan.

snip

>How should the rest of us interpret this, do you think? Was
>Jupiter worthless? Cooking their books, perhaps, or never
>more than smoke and mirrors and all along? Or is it more a
>measure of the negative mood of the business world regarding
>the Internet?
>
>To put this in perspective, Internet.com bought ClickZ for
>$16 million ($10 million of that in cash) in the fall of 2000.


Rick,

As of March 31, 2002, Jupiter Media Metrix had approx. $39,000,000 in
accounts payable, $22,700,000 in other liabilities, and a grand
total of $7,400,000 in cash and $12,300,000 in receivables. Their
NEGATIVE cash flow from operations was nearly $8,000,000 per
quarter. I would guess that their current situation was even more
dire.

IMHO, they should have paid INT to take them... they were
damn lucky to find someone that thought that their assets were
worth more than their liabilities and cash burn rate.

ClickZ had no debt and a profitable revenue stream. They were
fortunate to get such a good price, but still, you are comparing
apples and oranges.

And your allusion to the Manhattan apartment is more like
comparing apples and trees.


--Cliff

Clifford R. Kurtzman, Ph.D.
President and CEO Moderator
The Tenagra Corporation The Online Advertising Discussion List
http://www.tenagra.com/ http://www.o-a.com/
281/480-6300
Using the Internet as a Strategic Asset




Received on Sat Jun 22 2002 - 17:31:00 CDT