Sept. 12 (Bloomberg) -- TheStreet Inc., owner of the financial website TheStreet.com, bought The Deal LLC, a news service covering mergers and acquisitions, for $5.8 million in cash.
The Deal, based in New York, was founded in 1999 as a print newspaper before shifting its focus online. As part of the purchase, TheStreet will undertake a restructuring that includes the termination of some of The Deal’s employees, according to a filing today. It will also discontinue a print magazine, TheStreet Chief Executive Officer Elisabeth Demarse said.
“The majority of the employees will be coming over,” Demarse said in a telephone interview. Most of the staff cuts will happen in the administrative ranks, she said. Some of The Deal’s journalists will be kept on and could fill spots currently vacant in TheStreet’s newsroom, Demarse said.
“Altogether, we’re very excited to have The Deal as part of the company,” she said.
The Deal, owned by private-equity firm Wasserstein & Co., currently employs around 110 workers, Demarse said.
Wasserstein & Co. was founded by Bruce Wasserstein, who purchased New York magazine for $55 million in 2003. He died in 2009, leaving much of his assets to his family.
TheStreet, co-founded by Jim Cramer in 1996, fell 0.7 percent to $1.39 at the New York close. The stock has declined 17 percent this year.
To contact the reporter on this story: Edmund Lee in New York at firstname.lastname@example.org
To contact the editor responsible for this story: Nick Turner at email@example.com