Denver, Colorado – (The Hosting News) – November 1, 2005 – Local search company, Local Matters, Inc., has secured equity financing of $20 Million from Sandler Capital Management.
According to Michael Marocco, Senior Managing Director, Sandler Capital, ”Local search represents a potentially large market, with a substantial opportunity for technological innovation and rapid growth. We believe Local Matters is well positioned, with a unique and compelling vision, early successes, and a solid management team, to take advantage of this market opportunity. We are very excited to join the Local Matters team and assist them in executing their growth initiatives.”
The equity financing will be used to support corporate development initiatives, notably the acquisition of MyAreaGuides.com, Inc. and Online Web Marketing, Inc., the owners of a network of specialized local search sites operating as AreaGuides. This vertical portal and media services business aggregates and integrates a broad range of local content. The network attracts more than 3 million monthly unique visitors and has a traffic profile ranked in the top 15 of local directories.
The acquisition of AreaGuides complements Local Matters’ existing product suite for Yellow Pages publishers and 411 service providers. AreaGuides is an aggregator of local content, focused on the travel and relocation industries. The Company packages this content to generate targeted traffic, which is highly valued by Yellow Pages publishers and other locally targeted marketing channels.
Mr. Marocco will join the Local Matters Board of Directors, which is comprised of other top-quality investment professionals and leaders in the Yellow Pages, media, advertising and search industries, including representatives of existing investors Spencer Trask Ventures and Software Seed Capital. SG Cowen and Company, LLC acted as lead placement agent and financial advisor to Local Matters in this transaction. Legacy Capital provided investment banking services to MAG.
Local Matters, Inc. provides local search services to the Yellow Pages market through advanced Internet, voice and mobile search and media solutions. To learm more about Local Matters, please visit: www.localmatters.com.