CBS Corp has once again expanded its fast-growing internet portfolio, taking a 30% stake in Big Entertainment Inc in exchange for roughly $105m in advertising and promotion over seven years. Big Entertainment operates the Hollywood.com movie- related web site. The deal effectively supplants one originally agreed to in April that would have seen CBS pay $100m in promotion for a 35% stake in Hollywood.com itself. Instead, CBS gains a 30% stake in the parent company, which also owns other entertainment-oriented sites, and receives a warrant to purchase an additional 5% interest in Big. CBS will hold three seats on Big’s board of directors as a result of the deal.
