Multinational media group News Corp. has started making preparations to auction off consumer-facing game network IGN Entertainment after failing to find a buyer for the division last year.
News Corp. reportedly tried to offload IGN and its affiliate websites in 2011, but since those efforts didn't pan out, the corporation has partnered with investment bank Allen & Co. to auction off the division, according to a report from the Wall Street Journal.
Sources close to the matter say that IGN is expected to pull in around $100 million in the sale – far below the $650 million News Corp. paid to acquire the network in 2005.
Over the past year, News Corp. has been working to expand the IGN network in order to prepare for the upcoming spinoff. In May 2011, IGN purchased Hearst Corporation's UGO Entertainment, the parent company to UGO.com and 1UP.com. The IGN network also includes websites such as IGN.com, AskMen.com GameSpy.com, and more.
While the formal sales process is just getting started, sources claim that a number of companies including Break Media and SAY Media have already expressed interest in purchasing the IGN network.
Of course, IGN isn't the only subsidiary News Corp. has decided to drop of late. In 2011 the company sold off the online social network MySpace for $35 million, after paying some $580 million for the website back in 2005.
News Corp didn't do a damn thing to elevate the IGN Entertainment group as a whole. All they really did was transfer one of Murdoch's cronies, Roy Bahat, with no real knowledge of their audience or market to run the group & run it into the ground.
