Demand Media Tuesday announced the acquisition of Answerbag.com for $3 million in cash, and a partnership with the site's parent company, InfoSearch Media, Inc. Demand Media has agreed to purchase $2
million of InfoSearch's products and services over the next 2 years, and will receive warrants to purchase 5 million shares of InfoSearch's common stock for $3 million and the issuance of warrants for
InfoSearch to purchase 125,000 shares of Demand Media's common stock.
--Shankar Gupta