updated 10:06 pm EDT, Tue September 18, 2012
Deal worth $20 million, Geeknet using funds to build ThinkGeek
Career website holding company Dice Holdings has purchased the online media aspect of Geeknet, leaving retailer ThinkGeek out of the transaction. The $20 million transaction includes Geeknet properties Slashdot, SourceForge, and Freecode. The deal brings Dice Holdings a set of websites that generate $20 million in income annually, with 44 million unique hits between the three sites per month. By comparison, Dice.com's traffic is a small percentage of the ex-Geeknet sites, at 2 million unique hits per month.
Senior Vice President and CFO of Dice Holdings Michael Durney told TechCrunch in an interview that "Dice has been talking about building content and user engagement to be top of mind and more integral to professionals doing work, and if you think about SourceForge and Slashdot, it's about user engagement to help you do your job."
Dice Holdings promises to keep editorial independence in the sites, particularly Slashdot. "One of the things we expect to learn is how these sites engage with their user bases," said Durney. He added that "we don't want to change the experience today. What will happen over time is that the Dice.com site will operate more seamlessly connected to these sites. But the sites themselves will keep their look and feel and will run on their own."
Ken Langone, Chairman of Geeknet said in regards to the sale that the company is "very pleased to find a new home for our media business, providing a platform for the sites and our media teams to thrive. With this transaction completed, we will now focus our full attention on growing ThinkGeek."