Sources: Virgo Publishing Close to Sale
Company an "attractive buy," or "poor man's Cygnus"?
Virgo Publishing, the Phoenix-based publisher of 19 b-to-b magazines and 10 events, is close to being sold for the second time in three years, industry sources say.
The company, with approximately $50 million in revenue, was acquired by Seaport Capital in December 2004. It was founded in 1986 and serves niche business sectors, with magazines including Billing & OSS World, Church Solutions, Corporate Logo, EndoNurse, Inside Self-Storage, Professional Door Dealer, Renal Business Today and New Telephony.
Its largest served market is in the natural foods space, which combined with its telephony holdings makes it a somewhat synergistic fit with Penton Media.
An informed industry source wasn't sure whom Virgo would be sold to, but said that "on a pure numbers basis, it's an attractive buy." The company has a strong EBITDA of about $10 million, the source said.
However, the same source was less-than-enthused about the Virgo portfolio. "It is a remarkably unattractive mix of products. There is no strategic focus. To me, it's a poor-man's Cygnus."