Penske’s Media Corp. Sells Its E-Mail Business

Jay Penske’s Media Corp., which has been busily buying up media sites, is selling its e-mail business to German internet firm United Internet Group. The sale means Media Corp. — which will soon be getting a new name — will now primarily be made up of the media sites it has acquired and built in recent years, including The Boy Genius Report, Deadline Hollywood Daily, and Hollywood Life.

In an e-mail sent to “stakeholders, colleagues, and friends,” Penske says the company was approached by several parties earlier this year who were interested in buying the business. He doesn’t say how much it sold for but says the deal provides his company with a “vast pool of capital for the future.” Penske says the company will now have “an even greater focus on expanding the portfolio of published content properties and further investment in our existing properties and events.”

In April, Media Corp. bought up mobile site The Boy Genius Report. That deal followed its launch of the portal in February and its purchase of Nikki Finke’s Deadline Hollywood Daily last summer.

United Internet Group, meanwhile, is combining with its own e-mail platform which is called GMX. Users will keep their e-mail addresses but will use the GMX platform to access their e-mail. Media Corp., however, will continue to be the “primary global content provider” to the site. The two companies are also partnering to “launch properties and distribute online content across various international markets, initially targeting Germany and India.” Specifically, the two companies say they will be collaborating on; the site will now feature “custom GMX-powered e-mail products.”