Digital media company and online ad network Specific Media has acquired social network Myspace from News Corporation, with an investor group led by Activision CEO Bobby Kotick missing out on the sale.
As a result of the deal Rupert Murdoch's News Corp. will acquire a minority equity stake in Specific Media. Other details of the agreement are not due to be announced, but a Reuters report suggests that the deal was worth $35 million - far less than $100 million News Corp. had sought.
News Corp. originally acquired Myspace for $580 million, with the social network having once been valued at as much as $12 billion.
"There are many synergies between our companies as we are both focused on enhancing digital media experiences by fuelling connections with relevance and interest. We look forward to combining our platforms to drive the next generation of digital innovation," said Specific Media CEO Tim Vanderhook.
The announcement came as something of surprise, as an investor group led by Bobby Kotick - working outside of his role as Activision CEO - had at one point been the only interested party.
According to an earlier Reuters report the Kotick deal would have seen News Corp. retain 20 per cent ownership of Myspace.