DoubleClick Trims Offer for MessageMedia

NEW YORK — Internet-advertising company DoubleClick Inc. said Thursday it has revised the terms under which it will acquire MessageMedia Inc., paying much less than it offered last summer for the provider of electronic mail services.
Under the new terms, DoubleClick (DCLK) will issue one million of its shares, valued at $6.9 million based on the stock’s Tuesday closing price, and under certain conditions, make available to MessageMedia (MESG) up to $1.5 million of bridge financing.

In June, DoubleClick agreed to acquire MessageMedia in a stock deal then valued at about $41 million. It said the acquisition would broaden its client base and provide the digital marketing company with licensed e-mail marketing software.
DoubleClick said the revised transaction is expected to be completed in the fourth quarter.

DoubleClick said the transaction, which will be accounted for by the purchase method of accounting, is subject to conditions, including approval by MessageMedia shareholders.

Copyright (c) 2001 Dow Jones & Company, Inc. All Rights Reserved.