Gay travel service provider, PlanetOut, is signing a definitive agreement to acquire all of the assets of RSVP Productions for $6.5 million in cash. PlanetOut expects to
close this transaction in March 2006, subject to the satisfaction of
regulatory and business requirements, and expects it to be immediately
accretive.
RSVP, a privately held company based in Minneapolis with 12 employees,
posted $7.2 million in revenue in 2004 and $8.3 million in revenue for the
first nine months of 2005.  The company is among the world’s largest gay and lesbian tour operators and marketers offering distinctive
travel packages, including big and small ship cruises, riverboat cruises, land
tours and resort vacations geared toward a gay and lesbian audience. A pioneer
in the travel industry since 1985, RSVP has hosted more than 80,000 guests
from all over the world.
  This acquisition substantially increases PlanetOut’s position in the $65
billion gay and lesbian travel market, as estimated by research firm
Community Marketing, Inc. RSVP joins PlanetOut and its established audience of
LGBT travelers served by PlanetOut’s award-winning travel content, including
dedicated travel channels on its flagship Web sites Gay.com and PlanetOut.com,
as well as the travel magazine, The OUT Traveler.
  “The acquisition of RSVP, a strong, versatile and trusted LGBT travel
brand, will advance our strategy of building a diversified media,
entertainment and lifestyle company by offering our online and print audience
a suite of compelling products and services,” said Jeff Soukup, executive vice
president and chief operating officer, PlanetOut Inc. “RSVP is an excellent
strategic fit for PlanetOut, giving us an additional platform to serve the
varied needs of the LGBT community.  RSVP further bolsters our competitive
position with a growing family of trusted brands that address the desire of
our core audience to connect with one another, to be enriched by rewarding
experiences and to build community. The acquisition leverages our existing
travel media assets, established LGBT audience, customer lists and capital
resources to fuel RSVP’s growth.”
 
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