(AP) Online financial news publisher MarketWatch.com Inc. will buy online investment tools maker Pinnacor Inc. in a cash-and-stock deal initially valued at $103 million.
San Francisco-based MarketWatch will pay $44 million in cash and issue 6.5 million shares of stock to snap up New York-based Pinnacor, known as ScreamingMedia until late last year. The deal, announced Wednesday, is expected to close during the fourth quarter.
Pinnacor provides investment analysis tools to banks, brokerages and money managers through the Internet. The company has lost $138 million since 1999. ScreamingMedia provided content syndication services for Web sites.
MarketWatch hopes to sell some of its financial news and investment analysis products to Pinnacor’s customers.
After suffering along with most Internet businesses during the dot-com downturn, MarketWatch has been faring better of late. MarketWatch narrowed its loss to $174,000 during the first six months of this year compared to a loss of $9.8 million at the same time last year.