Insider Inc., the publisher of Business Insider, Markets Insider and Insider, will combine with eMarketer in 2020 in an effort to bolster the business-to-business digital research and intelligence services that both companies provide, Axel Springer said Thursday.
The German publisher, which owns both properties, said Insider Inc. and eMarketer will combine as of Jan. 1, with the goal of strengthening Business Insider’s B2B data product, Business Insider Intelligence, and broadening eMarketer’s reach and capabilities.
Henry Blodget, the founder and CEO of Insider Inc., will serve as CEO of the new combined group.
Jan Bayer, Axel Springer’s president news media international, said the decision was part of the publisher’s “next phase” of its growth strategy in the U.S. The combined companies, he said, will create “the condition for sustainable long-term growth” in its B2B business.
“Insider Inc. and eMarketer will both benefit from this next phase of development,” Bayer said in a statement about the arrangement. “They will be able to expand their market position in the U.S. and internationally, informing and educating more customers with their enhanced products and services.”
The merger will only affect Business Insider Intelligence and eMarketer, and the combined company “will be coupled with significant new investment to grow the combined entity,” which plans to expand the scope and topics it covers and double its size over the course of five years, a spokesperson for Insider Inc. told Adweek.
There are “absolutely no” layoffs planned, the spokesperson said. Business Insider, Markets Insider and Insider will continue to operate independently.
The deal comes amid broader changes at Axel Springer, which is, with the help of the U.S. private equity firm KKR, in the process of trying to buy out its minority investors and take the company private. That deal, CNBC reported Wednesday, could give the company more time to seek a buyer or build out its digital classifieds business.
Springer bought Business Insider in 2015 for $450 million and bought eMarketer a year later for less than $250 million.