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$3B STAR GAZING
EX-YAHOO! BOSS EYES BUYING IMG TALENT AGENCY
By PETER LAURIA
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June 2, 2008 --
Former Yahoo! and Warner Bros. Entertainment CEO Terry Semel plans to make a run at acquiring private-equity investor Teddy Forstmann's IMG marketing and talent agency, The Post has learned.
According to several sources with direct knowledge of the situation, Semel has been meeting with private-equity firms and the sovereign wealth funds of the United Arab Emirates, and has raised enough money to do a significant transaction.
One of these sources said Semel recently sat down with Forstmann and his bankers at Goldman Sachs, who have been working with IMG on various initiatives since last summer, to gauge their interest.
Earlier this year, Semel and a few Yahoo! defectors launched Windsor Media Capital with what one source described as "significant financial support from large investors."
Sources said Semel thinks he can transform IMG - which has a sports, entertainment, and media division and serves clients Tiger Woods, Gisele Bundchen and "The View" co-host Elisabeth Hasselbeck - into a media and content company and also bolster its digital operation.
For Semel, the pursuit of IMG could help repair a reputation that tarnished during his years as Yahoo! CEO. Indeed, many Yahoo! insiders quietly blame Semel for making the Web giant vulnerable to Microsoft's current takeover attempts.
"Semel's clamoring for a platform so he can get back into the spotlight," said one source, referring to his low profile since he left Yahoo! last year.
Sources said there are two main obstacles to an IMG deal: price and Forstmann's infatuation with the business.
People close to IMG say Forstmann sees the agency as a "play toy" that allows him to rub elbows with celebrities. They said it would take a rich offer - north of $3 billion - to entice him to sell.
Sources were unanimous, however, in saying $3 billion is a "very aggressive price," especially considering the low margins on the sports side of the business. They said a more realistic price would be less than $2 billion.
However, despite Forstmann's reluctance to sell, he may face investor pressure to do something with IMG.
Sources said investors in the Forstmann Little fund that acquired IMG four years ago for $750 million are pushing for some kind of a deal. However, other sources denied that was the case, likening the prized agency to the fund's purchase of Gulfstream, which was held for a decade.
"IMG has grown substantially since Ted bought it," an agency spokesman said yesterday. "Ted's interest is in continuing that substantial growth into the foreseeable future."
While Semel prefers all of IMG, investors could compel Forstmann to first sell a part of it - perhaps its media or entertainment arm - and then flip the rest later.
That's if a deal happens at all.
A source close to IMG said the agency's board is aware of Semel's interest but is not concerned by it.
What's more, this source added that IMG's work with Goldman focuses on growth initiatives rather than a sale. One such "project," as IMG's board calls it, involves Goldman raising money for a new business line with an international component.
"It's a relatively new area for , but it could be an important deal if structured properly," this source said.
Reps for Semel, Goldman Sachs and Forstmann Little declined to comment.
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NY POST
IDK if fords website or whatever really is that big of a factor these days... I mean, today it seems every major NY agency has a blog (except IMG at this point) and the blogs often allow some level of interactivity with the public, such as comments, and things like being able to submit headers (Supreme).foreverandnone said:Ford also lost it's credibility when it started branching out into group websites where you can join, post pictures of yourself, get beauty tips, fashion tips, and chat with other members.
That wasn't the only reason I spoke off, but okay.
But Ford, unlike all other agencies, have no sense of control when it comes to this type of stuff. It's almost like a lack of modesty. Like they have no reason to think they have become so great that they need to slap everyday people in the face with their less than wonderful achievements.
Its funny how the agencies with some of the best women worldwide, ie: Supreme & Women are able to get across intelligent, somewhat mysterious points in their blogs with the utmost modesty.
Ford seems more like a networking site, rather than an agency, and it just ruins the exclusive image.
True. Overall, online presence isn't a good indicator for an agency's reputation, legitimity and seriousness. Some good agencies have really poor websites while some scam "agencies" have very well done websites.
Blunier
But Ford, unlike all other agencies, have no sense of control when it comes to this type of stuff. It's almost like a lack of modesty. Like they have no reason to think they have become so great that they need to slap everyday people in the face with their less than wonderful achievements.
Its funny how the agencies with some of the best women worldwide, ie: Supreme & Women are able to get across intelligent, somewhat mysterious points in their blogs with the utmost modesty.
Ford seems more like a networking site, rather than an agency, and it just ruins the exclusive image.