The latest white knight that may swoop in to rescue Playboy Enterprises, Inc. (NYSE: PLA) comes in the form of an eccentric British billionaire -- Richard Branson, chairman of Virgin Group, which includes Virgin Atlantic Airways, Virgin Media, and dozens of other businesses. I'm going to refrain now from making an obvious joke playing on the supposedly colliding notions of "Virgin" and "Playboy." A UK newspaper is saying this week that Branson could be interested in scooping up the house that Hefner built, potentially as part of his Virgin Media group. (Update: Reuters reported the afternoon of May 28 that Virgin Media Group is not interested in buying Playboy). PLA shares, which hit a low of $1.15 in March, are currently trading at $3.18 -- up 6.7% today amid buyout hopes. The company's current market cap is about $106 million, making the beleaguered but iconic brand a relative bargain for the right buyer.
Reportedly, the price tag PLA is seeking is around the $300 million mark, though founder and controlling shareholder Hugh Hefner is allegedly resisting a sale of his baby bunny, intending instead to ultimately pass on ownership to his now-teenaged sons.
Maybe none of this - Branson's interest, Hef's reluctance - is actually true, but what a corporate battle royale that could be! Branson v. Hef for control of the Playboy empire. Now that's a reality show I'd watch.
Beth works for The Options News Network (www.ONN.tv), which provides daily options commentary. The above comments are not intended as trading advice.











Reader Comments (Page 1 of 1)
5-28-2009 @ 9:55PM
Carol C said...
I think people are getting bored with the same stuff. Bleach blond bunnies hanging around hef all the time. He needs to add some diversity. How about an issue of great looking women over 50 for a change. We may not all be tall and big chested and blonde, but some of us are still sexy and shapely and it would be a nice change. Count me in if you do Hef. lol.
5-28-2009 @ 10:34PM
rhorudjoe said...
I think someone would be more interested in buying Playboy if they could get that old fart Hefner from having to be in the company and pictures of these girls constantly and looking stupid puckering up with them. He had his day. Give it up. That's why no one is interested in the Girls Next Door and why that twit gave up on him also. Give it up already
5-28-2009 @ 10:43PM
patrick said...
I LOVE PLAYBOY! GREAT MAGAZINE! BUT BRING BACK BUSH! NOT THE PRESIDENT! I LIKE BEAUTIFUL WOMEN TO LOOK LIKE WOMEN. NOT LITTLE GIRLS.PLAYBOY RULES!!THE PLAYBOY MANSION IS UTOPIA!!
5-28-2009 @ 10:48PM
skeet said...
I agree, Hefner should bow out gracefully. He has definitely had his day with all those fine women over the years. He is a has been now, sexually, and is nothing more that just a figurehead or iconic relic. I believe it would be a wise business move to diversify like Carol C stated above, i.e. to portray the 50+ women , since most of the girls who are that age would be recognized for the beauty as welll as their brains. It'd be a good business move.
5-28-2009 @ 11:33PM
vinylman said...
c'mon sir richard. you're smarter than this. playboy is a dying brand name with a market cap of 106 mil !!!??? are you kidding me ?
5-28-2009 @ 11:42PM
LN said...
I have to say, I won't be sorry to see Playboy go. Not that it will make all that big a difference with all the free porn on the internet. Who wants to look at pictures when you can see live video feed?
5-29-2009 @ 12:08AM
ADMR said...
PLAYBOI Enterprises 2 The Rescue - Oh My!!!!
5-29-2009 @ 12:47AM
SUE WEISEL said...
Old Hef looks dead and his magazine is dead.
5-29-2009 @ 1:01AM
SUE WEISEL said...
Girls next door is the most stupid show on TV. Once was enough for me. Go into retirement for good Hef. We've seen enough of a old man trying to act young with those young twits with dyed blond hair and big fake boobs. They act like 12 year olds.
5-29-2009 @ 1:22AM
tmf107 said...
Truth be told, Playboy has been going down hill since the 1990's. The magazine itself is no longer relevent as there are several other men's magazines which better cater to Gen X'ers and Y Gen's and also have beautiful women and celebrities show cased. The magazine industry in general has been steadily declining during this decade with other men's lifestyle and entertainment magazines such as Maxium, Stuff, FHM, and most recently, Blender folding in the US. People basically click onto the web these days. I also agree with some of the other posters in that the girls featured in Playboy are pretty average looking with breast enhancements and photo shopped.
5-29-2009 @ 3:28PM
micscat said...
Hefner is a Viagra-munching old pig. Why doesn't he let his daughter buy the mag? She has been running it forever. And she's NOT a teenager!
5-31-2009 @ 3:13PM
CHARITY FORTUNE said...
You know what is really astonishing. Mr. Hefner is 83 years old and he is still sexually attractive to women. Those pictures on this website today are not brushed up and done to ensure a good photo. They are news photos done one by one in a quick snapshot. I will never get to meet Mr. Hefner but I wished I did.
Charity Fortune
5-31-2009 @ 3:37PM
fred marcus said...
anyone out there have the first issue of playboy for sale?
5-31-2009 @ 4:27PM
Larry said...
He screwed it all up when he took the company public, that was his downfall...............
5-31-2009 @ 4:35PM
Jim Jackson said...
Way to go...Richard (DICK) Branson.
5-31-2009 @ 6:05PM
Lyle said...
Your time has passed Hefner...Good-bye.