The nation's two largest gay-oriented media companies will combine when PlanetOut acquires LPI Media for $24 million in cash, according to the Los Angeles Times (via MediaBuyerPlanner). PlanetOut will also assume the $7 million in debt owed by LPI.
PlanetOut operates websites such as PlanetOut.com, Gay.com, and Kleptomaniac.com, that offer dating, travel, shopping, and other services.
LPI publishes the Advocate and Out magazines and two others - for a combined circulation of 8.2 million.
The deal will offer advertisers "the massive online reach that PlanetOut can deliver with the amazing content and editorial that LPI Media can deliver," chairman and chief executive of PlanetOut, Lowell Selvin, said.
