CareerBuilder, Inc. (Nasdaq: CBDR) rose 3 13/16 to 7 13/16 Monday after the online employment company agreed to be acquired by Knight Ridder, Inc. (NYSE: KRI) and the Tribune Co. (NYSE: TRB) for $8 per share in cash.
The publishing companies said they will also acquire CareerPath.com, Inc. for an undisclosed price as part of a plan to establish a national online recruitment network.
The firms will aim to serve more than 100,000 employers, and expect to be able to target job searches locally through their newspaper and Web site interests. “This new venture enables us to create a win-win solution for advertisers, recruiters, consumers and the companies involved,” said Dan Finnigan, president of KnightRidder.com, which operates the Real Cities network.
Forrester Research expects online classified advertising to rise from $1.2 billion this year to $8.2 billion in 2005, with job advertisements accounting for half of the growth.