By: Jennifer Saba
The months of speculation that Yahoo was trying to offload its career site HotJobs has ended. Its rival Monster Worldwide has agreed to acquire HotJobs in a $225 million cash deal, the company announced this afternoon.
The terms also include a three-year commercial traffic agreement in which Monster will become Yahoo’s provider of career content for its U.S. and Canada sites. Monster will receive a range of annual payments based on clicks and expressions of interest and maintains an exclusive right to negotiate similar traffic agreements with other Yahoo global properties.
Both Monster and Yahoo say the deal will increase job matches through an expansion of the number of listings. The combined sites will also broaden the reach of recruitment advertising.
“Bringing together Monster and HotJobs creates even greater access and opportunities for both recruiters and job seekers,” Hilary Schneider, Yahoo’s executive vice president, said in a statement. “The transaction with Monster enables us to continue to provide an important service to our users through the traffic agreement. Yahoo remains focused on its core businesses and delivering exceptional experiences to users, partners and advertisers.”
The HotJobs site was one of the benefits touted by Yahoo when forming the newspaper consortium in 2006. It is not a requirement for newspapers to join HotJobs and several members, such as McClatchy, are not involved with that component. Still, more than 600 daily and weekly newspapers are part of the HotJobs network.
Monster has been forming its own alliance with newspapers and noted in the release that combined with Yahoo, the network now encompasses 1,000 local newspapers.
Yahoo said it will continue to provide search and display advertising, content distribution and its APT ad platform to its newspaper partners.
The deal, subject to government approval, is expected to close during Q3.