Summit Business Media Sells Art Group
Sale is largest move yet in focusing of company's products.
Summit Business Media has sold its Art Group in two transactions. While he wouldn't reveal the price, Summit president and CEO Andy Goodenough said the group generated less than $10 million in revenue.
The first deal, which consisted of art fair Art Miami, sold to Art Miami LLC, a partnership between media veterans Mike Tansey and Brian Tyler and fair director Nick Korniloff. That deal closed on July 9.
The remaining properties, including magazines Art Business, DÃ©cor and Volume, and tradeshows Artexpo and DÃ©cor Expo, sold to former Summit Art Group vice president Eric Smith. That deal closed July 31. Â
Summit also closed its Cleveland office, which was devoted primarily to the art products. "The group had no strategic fit to the rest of Summit and it was performing poorly," says Goodenough. "Art is probably the most discretionary of discretionary spending."
Focus On Core Products
While Summit went on a buying binge in 2006 and 2007 under its late founder Bill Reilly, buying Pfingsten, Highline and Wicks Business Information in rapid succession, the company this year has focused on paring down its portfolio to its core insurance and professional financial services products.
In June, Summit exited the mortgage business by signing a letter agreement with Source Media to merge its 15,000-cir. Mortgage Originator magazine into Source's Origination News, with Source picking up subscriptions and ad contracts through the rest of the year. Â
On July 1, Summit sold its professional training unit Executive Entreprise Institute to SmartPros Inc.
"We're now focusing on the businesses we own," says Goodenough. "We have four divisions: media, events, reference and data. We're just rolling out the market group concept in the media division."