Red Ventures to buy Bankrate for $1.24 billion

(Reuters) - Bankrate (NYSE: RATE), an online publisher of personal finance content, said on Monday it would be acquired by digital marketing company Red Ventures for $1.24 billion.

Bankrate's shares rose 7 percent to $13.75 in premarket trading, slightly below the offer price of $14 per share.

The deal, expected to close in 2017, has an enterprise value of $1.4 billion. (http://reut.rs/2sxUJXz)

Charlotte, North Carolina-based Red Ventures' investors include Silver Lake Partners and General Atlantic.

J.P. Morgan is Bankrate's financial adviser and Wachtell, Lipton, Rosen & Katz is the legal adviser.

Bank of America, Barclays, Citigroup, Credit Suisse, Fifth Third Bancorp, Mitsubishi UFJ and PNC Financial are acting as financial advisers to Red Ventures, and are providing debt financing to the company.

Simpson Thacher & Bartlett LLP is Red Ventures' legal adviser.

(Reporting By Aparajita Saxena in Bengaluru; Editing by Saumyadeb Chakrabarty and Anil D'Silva)

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