The graphics company says this purchase will make Jupitermedia the third largest distributor of stock images.Jupitermedia has inked an agreement to acquire Creatas L.L.C., the parent
company of Dynamic Graphics Inc. and PictureQuest Acquisition Company L.L.C., along with Dynamic Graphics Group (consisting of its stock photo and related graphics brands), for $38,175,000 and 1,483,073 restricted shares of Jupitermedia common stock.
"Acquiring Dynamic Graphics Group makes Jupitermedia the third largest company in the world in the field of selling and distributing stock photography, stock footage and other imagery," Alan M. Meckler, chairman and CEO of Darien, Conn.-based Jupitermedia Corp., said in a statement.
"Dynamic Graphics' Creatas, PictureQuest and Liquid Library brands are widely known worldwide and provide us with thriving sales operations in the United States, the U.K., Germany and Australia," Meckler said.
"In addition, Dynamic Graphics Group is one of the leading publishers of magazines and organizers of seminars and tradeshows for stock photo and graphics professionals. We will make good use of these properties to help distribute and cross-promote our existing JupiterImages brands. We expect that this acquisition will be accretive to our earnings," Meckler added.
The Peoria, Ill.-based Dynamic Graphics Group distributes royalty-free content (photography, footage, illustration, typography and other design tools) through its Creatas brand. Dynamic Graphics Group also includes PictureQuest, an image resource distributing more than 500,000 royalty-free and rights-managed images, according to the company.
Jupitermedia said that it will finance the cash portion of the purchase price with cash on hand and borrowings under a credit facility to be obtained in connection with the transaction. The transaction is expected to close in March 2005.
Earlier this month, Jupitermedia relaunched its animations.com subscriptive Web site, which the company says has over 200,000 animations, Flash components, background graphics and other images.
