Women-focused publisher Bustle has agreed to buy Mic Network, a US-based online news platform backed by marketing firm WPP and media group Time Warner, in a $5m deal, the Wall Street Journal reported yesterday.
Founded in 2011, Mic operates a platform that publishes news targeted at a millennial audience and creates branded content for sponsors and advertisers.
The company, which claims to have a monthly audience of 50 million readers, reportedly laid off a large percentage of its staff in the months leading up to the deal. Bustle will focus on bringing in new staff next year following the takeover.
In June 2017, Mic Networks raised $6.5m from WPP in an investment round that increased the company’s overall funding to $60m.
WPP’s investment followed a $21m series C round in April 2017, led by Lightspeed Venture Partners. That round included Time Warner Investments and Kyu Collective, the respective subsidiaries of Time Warner and advertising firm Hakuhodo, and brand services provider You & Mr Jones. The round valued the company at $100m.
In 2015, Mic raised a $17m series B round that included Axel Springer Digital Ventures, a subsidiary of media company Axel Springer, venture capital firms Lightspeed, Lerer Hippeau Ventures, Advancit Capital and Red Swan Ventures, John S and James L Knight Foundation and private investor Jim Clark.