Yellow Pages Group's Yellow Media is set to acquire a Canadian local search and directories publisher named Canadian Phone Directories Holdings, but commonly known as Canpages. TechCrunch reports
that Yellow Media is paying a consortium of investors -- led by PE firm HM Capital Partners -- about $225 million for the company.
The purchase price will likely be comprised of $75 million payable in cash at closing to settle third party debt obligations, along with the issuance of $150 million of Mandatory Exchangeable Promissory Notes of Yellow Media. Headquartered in Vancouver, Canpages publishes 84 directories for a total circulation of approximately 8 million copies. The company's website, Canpages.ca, presently attracts over 3.5 million unique monthly visitors. Canpages generates annualized revenues of $110M, with an online contribution of approximately 23%.