Tuesday, February 19, 2008

Martha Stewart buys Emeril

Martha Stewart Living Omnimedia Inc. has announced they bought the rights to the Emeril Lagasse Empire- the franchise of cookbooks, television shows and kitchen products- for $45 million in cash and $5 million in stock at closing.

They didn't bother with "Emeril's Homebase, which includes Lagasse's 11 restaurants and corporate office."

Martha Stewart Living said "the deal will contribute immediately to our performance," adding $8 million in earnings before interest, taxes, depreciation and amortization. The acquired assets generated $14 million in revenue in 2007.

Martha Stewart Living expects the deal to close in the second quarter. The final price could rise to up to $70 million if certain benchmarks are achieved.

AP/ Image by PR Photos


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