NMG acquires KenyaBuzz in a bid to dominate the digital entertainment space
Nation Media Group (NMG) acquires Kenya’s lifestyle information magazine, KenyaBuzz.
The acquisition is part of an ongoing shift by NMG to become a fully digital media house, the media company has been structuring its organization since the last year in an effort to get back to profitability, a move which rendered many Kenyans jobless.
NMG Editor-in-Chief Tom Mshindi welcome the acquisition saying it is one of the several steps the group is taking to broadening its content focus beyond news and to ensure a strong and diversified menu for lifestyle audiences.
“As we welcome KenyaBuzz to our stable, it is a part of a new agenda to reorient NMG into a fully-fledged digital entity,” said Mr Mshindi.
The deal, which was sealed on Wednesday at a Caramel lounge in Nairobi was lit and attended by several media personalities.
Unconfirmed reports indicate NMG bought 51 per cent of the company and effectively become the majority shareholder.
The acquisition will see NMG also own UgandaBuzz, a subsidiary of KenyaBuzz.
KenyaBuzz is the leading provider of event and lifestyle information in Kenya. Through its website, newspaper and e –newsletter it provide the latest information about what’s happening around the country in sports, nightlife, music, theatre, movies, the arts, kids events and more.
KenyaBuzz was founded in 2007 and despite being a huge brand, reports indicate the company has also been struggling financially.
The system, which was launched in 2014, offers users the convenience of booking seats and buying movie tickets online.
It also operates the Raha Android phone app that was launched in 2012 and has won major awards, including Google Innovation Award in 2013.
Alix Grubel, the founder and owner of KenyaBuzz, said the partnership had opened a new chapter for KenyaBuzz.
NMG is the largest media group in East and Central Africa and products spanning across the region ranging from the Daily Nation newspaper, Business Daily, Nairobi News, East African Newspaper, N Soko and now Kenya Buzz.
During last year’s company annual year report NMG's chief executive officer, Joe Muganda identified the digital space as a key area of growth for the media house.
“Our digital profits, though small, grew by more than 200 per cent over last year and we expect its revenues to constitute eight to 10 per cent of our total revenues in the near term,” Muganda said
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