CitySearch, Zip2 to merge
The two companies will merge in a deal estimated at more than $300 million, according to CitySearch's chief executive.
Jeff Pelline Staff Writer, CNET News.com
Jeff Pelline is editor of CNET News.com. Jeff promises to buy a Toyota Prius once hybrid cars are allowed in the carpool lane with solo drivers.
CitySearch and Zip2 will merge in a deal valued at more than $300 million, CitySearch chief executive Charles Conn said today.
The deal will combine two companies that specialize in city directories, entertainment listings, and yellow page directories.
All told, the new company--to be called CitySearch--will serve 175 cities in its network, including the top 27 U.S. cities. It will employ about 700 people.
Although the company will be called CitySearch, Conn called the deal a "merger of equals." CitySearch and Zip2 are privately held.
Rich Sorkin, chief executive of Zip2, will become chief executive of CitySearch. Conn will become chairman.
Zip2 soon will help the New York Times launch a city guide called New York Today.