14183 Fri, 04/04/2008 - 12:01pm
NEW YORK–Martha Stewart Living Omnimedia has completed its acquisition of Emeril Lagasse’s media and merchandising business.
First announced in February, the deal gives the Stewart organization the rights to the Emeril franchise, including television programming, cookbooks, the emerils.com Web site, and licensed kitchen and food products. The purchase price was $50 million, of which $45 million was cash and the remaining $5 million was in stock. According to a statement from Martha Stewart Living Omnimedia, the total value of the purchase could reach $70 million if “certain performance targets are realized in 2011 and 2012.”
MSLO said the company expects the assets to generate adjusted earnings before interest, taxes and depreciation of $8 million in the first full year of operation. Lagasse has retained the rights to his restaurant and foundation-related assets. The closing of the deal was announced on Stewart’s nationally syndicated TV show yesterday.