All business and assets of PoliticsHome, launched just three years ago, have been acquired by Dods from its owners Political Investment Ltd and Politics Home Ltd, both controlled by former deputy chairman of the Conservative Party Lord Ashcroft.
In a statement released to the market this morning, Dods said the deal could cost the company up to £2m in cash by 2014, subject to targets being met, though no payments would be made immediately.
PoliticsHome is edited by former deputy political editor of the Evening Standard Paul Waugh.
The site, which in part aggregates news from numerous media outlets, made a pre-tax loss of £500k in 2010, based on revenues of just £100k.
Dods owns numerous publications and websites operating in the political and civil service sectors including ePolitix.com, Theparliament.com and The House magazine.
Gerry Murray, chief executive of Dods, said the acquisition ‘enhanced its position in the wider political information market’ and would be integral to plans to develop an ‘online engagement tool for MPs’.
In the 12 months to 31 December 2010 Dods made a small pre-tax loss of £700k on revenues of £16m.
While the company said its digital information services have performed well, its exposure to uncertainty in the Civil Service market has had a negative impact on results.