* InsWeb to sell insurance lead generation, marketing
* InsWeb to retain portfolio of e-commerce, online insurance
* Deal to add immediately to Bankrate's results.
Oct 10 Bankrate Inc , which publishes
personal finance content online, said it will buy InsWeb Corp's
insurance lead generation and marketing business for
$65 million in cash.
Following the deal, InsWeb will retain a portfolio of
e-commerce and online insurance distribution patents, which will
be licensed to Bankrate on a royalty-free, non-exclusive basis.
North Palm Beach, Florida-based Bankrate said it will also
assume certain liabilities of InsWeb and expects the deal to add
immediately to its results.
InsWeb, which operates a network of insurance marketplace
and education websites, will continue to operate as a public
"This transaction provides an attractive opportunity to exit
the lead generation business and to shift our focus to
monetizing our patent portfolio," InsWeb CEO Hussein Enan saidf
in a separate statement.
Shares of Bankrate closed at $15.81 Monday on the New York
Stock Exchange, while those of InsWeb closed at $6.21 on Nasdaq.