This is AEG’s second digital acquisition announced in a month: first Examiner.com’s acquisition of NowPublic, and now a different group AEG Productions is buying eight-year old webcasting services company Incited Media, for an undisclosed sum. The deal, being announced today, will merge Incited with AEG Productions to create AEG Digital Media. The sports and entertainment presenter is positioing the new unit as a “production powerhouse” with global “end-to-end broadcast and webcast capabilities.” AEG Productions is only nine months old, and was involved with producing The Michael Jackson Tribute for Staples Center, The Oprah Winfrey Show, and Fight Night Club, it says. The group has a $25 million production studio in downtown LA.
Incited, based in Los Angeles, was founded in 2001 by Joe Einstein and Ben Rolling, has been involved in some big name online webcasts, including Live 8, Live Earth, 2006 Winter Olympics, Grammy Awards, YouTube Live and last year’s Democratic National Convention.
Digital media exec John Petrocelli took over as company CEO last year in March, and was trying to raise about $2-3 million for the company late last year; it has been self-funded till now. It is profitable and expected to have revenues of about $4 million this year, with profit margins over 50 percent, sources say. Looks like AEG came in during the fund raising process. Judging from those numbers, the price is likely to be between $10 million to $15 million, if not more.
Michael Goldfine, former president of AEG Productions, will serve as the company