Amazon to buy audiobook seller

Stephen Withers
Friday, 01 February 2008 00:39

IT Industry - Listed Tech

Amazon is set to absorb Audible in a $US300 million deal.

Best known for its audiobooks, Audible also sells digital, spoken-word versions of newspapers and magazines as well as radio programs and other audio content.

"Audible.com offers the best customer experience, the widest content selection and the broadest device compatibility in the industry," said Steve Kessel, Amazon's senior vice president for worldwide digital media.

"Working together, we can introduce more innovations and bring this format to an even wider audience."

The agreement between the two companies involves a cash offer of $US11.50 per share. Amazon will also assume Audible's outstanding stock-based awards. The $US300 million valuation includes Audible's cash and short term investments.

Assuming regulatory and other approvals are obtained, the deal should be finalised by the second quarter of 2008.