The Forbes magazine logo is seen on a sign at the St. Petersburg International Economic Forum 2017 (SPIEF 2017), in St. Petersburg, Russia, June 1, 2017. Picture taken June 1, 2017. REUTERS/Sergei Karpukhin/file photo Acquire license rights
Nov 21 (Reuters) – Forbes parent company cancels acquisition by Luminar Technologies (LAZR.O) CEO Austin Russell said the billionaire could not find the financing, an internal Forbes memo seen by Reuters on Tuesday showed.
Earlier this year, the auto technology executive agreed to acquire 82% of Forbes in a deal that valued the business news publisher at nearly $800 million, including the remaining portion of the company owned by the Forbes family.
Forbes Media CEO Mike Federle told staff that the cancellation would not affect day-to-day operations and that the company would continue to “consider other opportunities,” said the memo, which was first reported by The Information.
Forbes did not respond to requests for comment.
In a statement, a representative for Russell’s family office said “it was determined that it was in the best interests of the parties for the contract to be terminated. We wish the Forbes team nothing but the best.”
Forbes was valued at $475 million in 2014 when Integrated Whale Media purchased a majority stake in the company from the Forbes family and investment group Elevation Partners. Chinese conglomerate HNA Group unsuccessfully attempted to acquire a majority stake in Forbes in 2017, Reuters reported at the time.
Forbes, one of America’s oldest media outlets, publishes its eponymous flagship magazine, which reaches 5 million readers. Founded by BC Forbes in 1917, it has long championed capitalism and entrepreneurship and is known for its annual list of the world’s richest people, as well as its 30 Under 30 franchise.
Reporting by Dawn Chmielewski in Los Angeles, Helen Coster in New York and Akash Sriram in Bangalore; Editing by Maju Samuel and Richard Chang
Our standards: The Thomson Reuters Trust Principles.
