Hoping to tap more effectively into the lucrative gay travel market, PlanetOut Inc.--a publicly traded LGBT media corporation and parent company of The Advocate--announced Monday that it will acquire the gay and lesbian tour operator and marketer RSVP Vacations for $6.5 million in cash and possibly $3 million in bonuses pending future company performance.
The purchase is subject to regulatory and business requirements but is expected to be finalized in March. "The acquisition of RSVP, a strong, versatile, and trusted LGBT travel brand, will advance our strategy of building a diversified media, entertainment, and lifestyle company by offering our online and print audience a suite of compelling products and services," said Jeff Soukup, PlanetOut's executive vice president and chief operating officer.
By leveraging PlanetOut's various media properties, which include The Out Traveler magazine and Gay.com, with RSVP's popular gay vacations, the new company will try to get more of a hold on the reported $65 billion spent annually by gays and lesbians on travel, Soukup said.
"RSVP is an excellent strategic fit for PlanetOut, giving us an additional platform to serve the varied needs of the LGBT community," he added.
RSVP, a 21-year-old privately held Minneapolis-based company, offers cruises, land tours, and resort vacations to gay and lesbian travelers. All of RSVP's 12 employees, including president Paul Figlmiller, were offered employment with PlanetOut. (Advocate.com)
