Gannett has acquired social net tools provider Ripple6 to create online communities for its own properties and outside media companies. Terms were not disclosed. Gannett chief digital officer Chris Saridakis had a 10 percent stake in Ripple6 and as part of the deal, Gannett agreed to buy Saridakis' stake in the company. Gannett added that Saridakis was not a part of the negotiations. This is similar to what Gannett did last March, when it completed its purchase of PointRoll by buying Saridakis' shares in the company. A Ripple6 rep also told me that Saridakis was a member of the company's board, but he resigned after Gannett acquired his shares.
Aside from its CDO's stake, Ripple6 already had a relationship with Gannett going back to last March. The company didn't say when Saridakis made his investment, but it predates Ripple6's deal with Gannett (NYSE: GCI). Ripple6 was initially contracted to provide about $2.2 million of computer programming services related to Gannett's strategic plan initiatives. Apart from that, Ripple6 had been powering Gannett's MomsLikeMe.com sites, which recently rolled out in 80 local markets across the country. Desilva+Phillips was the banker for the Ripple6 side.
Gannett didn't simply buy Ripple6 to get in-house tech services. It also hopes to bring in revenue and expand relationships with Ripple6 clients like Procter & Gamble. Separately, Ripple6 is about to launch a social net site called MixingBowl.com with Meredith Corp.'s Better Homes and Gardens. Release
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