DMG Media, the Daily Mail’s publisher, has reportedly acquired Elite Daily. Jon Steinberg, the CEO of Daily Mail North America, said “This gives us the opportunity to invest in and grow two different but complementary media brands which together will have a reach that few can match. We want to compete with AOL and Yahoo, and this will help us get to that goal.”
Describing itself as “The Voice of Generation Y,” Elite Daily mixes general news and culture coverage with stories. In a blog post about the acquisition, CEO David Arabov said the site now has a 65-person team and reaches 74 million readers.
David Arabov has written a post which explains the sale:
“This does not represent an end to our journey, but the continuation of our growth as a company to the stature we’ve always dreamed it would reach.” Arabov writes. “Our acquisition by Daily Mail has provided us the perfect opportunity to do just that. This marriage will permit Elite Daily to continue to flourish as a platform for and by Millennials, allowing us to expand internationally, grow our staff and continue to deliver the most relevant and engaging content for Millennials.”
Elite daily was launched in 2012 and has since then has grown to a 65-person team. It also claims that 3,000 contributors post to the site, same as BuzzFeed. The Daily Mail in its acquisition report says that over 70% of Elite Daily’s readers are aged between 18 and 34.
Elite Daily raised $1.5 million in funding in June as a convertible debt note from Greycroft, Vast Ventures, Red Sea Ventures, SocialStarts, and angel investors. Though the acquisition amount has not been disclosed yet, the Wall Street Journal reported that the price was $47 million.