CreditorWeb.com - Strategic Sale
CreditorWeb.com - Strategic Sale

THE TRANSACTION:

Creditor Web has been acquired by publicly-held Internet Brands, Inc. (Nasdaq: INET), a leading Internet media company that owns and operates e-commerce and community-based websites across a variety of industries.

THE COMPANY:

Formerly headquartered in Broken Arrow, Oklahoma, Creditor Web is a leading credit card comparison site that empowers consumers to find and review the best credit card offers based on each consumer's particular needs and specifications. The site features original articles, tools to understand the cost of credit card debt, and a proprietary credit card search engine that compares card offers based on a variety of criteria. The company’s website consistently ranks as one of the most trafficked in its niche and derives its revenues from credit card providers that compensate the company for credit card applicant leads.

THE SOLUTION:

Creditor Web’s co-founder and President, Jeremy Zongker, had rapidly grown the company following its founding in 2004. As an early entrant in the credit card web publishing niche, the company was able to quickly establish a leadership position that made it an attractive web property. As Mr. Zongker was contemplating alternatives to drive the next phase of the company’s growth, a fellow web publishing entrepreneur referred him to Founders to help provide a clear transaction strategy that would allow the company’s shareholders to explore the options available in the capital markets that met their specific goals and objectives. Ultimately, Founders advised Creditor Web on a strategic sale to publicly traded Internet Brands (NASD: INET), which provided a number of benefits to the company’s shareholders:

  • Creditor Web’s shareholders were able to realize a significant liquidity event that diversified their wealth and personal risk, and;
  • The transaction created a partnership that provided a platform with the technological and financial resources that Creditor Web needed to take full advantage of the growth opportunities available in its markets, while also providing a mechanism for future financial upside for Creditor Web’s shareholders based on performance.