Primedia Online acquires 365 Digital

Commenting on the move, iafrica.com CEO Chris Borain underlines the strategic similarities between the two, adding that it opened up great opportunities for both companies. "Primedia as a group has always believed the online sector to be a vitally important media segment," he says, "and by adding 365 to the stable they have highlighted their commitment to strengthening their market share both locally and globally.

"The online sector is a very exciting one to be in at the moment. We're seeing that in the growth of broadband users across South Africa, and the remarkable growth of local online advertising spend," Borain added.

Broadening exclusive content

In the short term, the company is expected to work closely with iafrica.com, Primedia Online's premier brand, and one of South Africa's longest running web portals. The move is expected to filter down into both companies' product offerings, broadening the exclusive content offered by sites such as iafrica.com, sport365.co.za, rugby365.com and sasoccer365.com.

Nikki Cockcroft, CEO of 365 Digital Publishing, highlights the benefits: "We are thrilled to be joining Primedia stable. iafrica.com is a South African internet pioneer and market leader and there are many synergies in the way the two businesses fit together."

With long pedigrees in the online arena - iafrica.com launched in 1997, 365 Digital Publishing in 1999 - both companies have weathered the storms of the medium, boast strong revenue models and look well set to cash in on the anticipated second online boom.

Key synergies

Both companies have highlighted key synergies in content creation, content management and advertising administration that will see them working closely on existing portals and new ventures.

According to founding director John Dobson, future projects for 365 include developments in the mobile arena (Mobile365), and an expansion of operations in Nigeria as well as in South African soccer and sports sponsorships.

"We believe that this partnership promises great things," comments Borain, "not only for the companies concerned but, more importantly, for their users too."