Wizardworld.com, the Internet offshoot of the Wizard magazine publishing empire, has been sold to 800America.com.  800America, the company that acquired Wizardworld.com, contains several web-related divisions including the 800america.com shopping portal, online magazine Internet Web Guide, 'ebiz4biz,' and Rothman Closeouts (wanna buy 5,000 Batman figures made in India?). 

Wizard had raised $8 million dollars for the development of Wizardworld.com, although as of this summer Wizard owner Gareb Shamus told us that fundraising had stopped due to the unfavorable climate (see 'Wizard Consolidates Web, Expands Shows').  Wizardworld's revenue sources are exchange commissions, advertising, and sales of exclusive merchandise. 

The press release announcing the sale provided no details about the future operation of Wizardworld.com.  Though the site is already linked to from the 800America.com homepage, a check of the news area on the Wizardworld site found that the news had not been updated since Monday, December 10.

 

800America.com is that rare breed among Internet companies -- profitable, and it's relatively cash rich as well.  It had about $15 million in sales in the first nine months of this year, with $8.6 million in pre-tax net income.  There was over $9 million in cash on the balance sheet at the end of the third quarter. 

 

800America.com didn't get that cash on its balance sheet by paying a lot of cash for its acquisitions.  In the four acquisitions it's reported so far during 2001, it's used its own stock as currency in all of the transactions (in addition to cash).  In its last two transactions for active companies (two of the acquisitions this year were the software bones of dead Internet companies), it paid $1.55 million in cash and stock for one company and $50,000 in cash plus 450,000 shares of its stock in the other.  800America.com stock trades on the Bulletin Boards; it closed today at $3.84 per share.  At that price, it had about a $62 million market cap.