Photon to make $5.5m loss following restrucure and sale of Geekversity

Photon, the marketing services group, is to make a $5.5m loss in its internet and e-commerce division following a restructure and the sale of its struggling business, Geekversity.  

The internet marketing company Geekdom houses the consumer-facing division Geekversity which was launched to teach its clients how to make money in online marketing.

But Geekversity, which charges several thousand dollars per course, has now been offloaded to a yet-to-be named specialist provider of consumer training and education services.

Last week, it was reported that Geekdom is facing legal action from former customers seeking refunds from their payments totalling $18,000.

In a statement, Photon said: “The exit from Geekversity business as part of the restructure of the internet and e-commerce division is expected to result in non-recurring losses of approximately $5.5m in the first half of the financial year 2010.

“As a result the EBITDA for the internet and e-commerce division is expected to be significantly lower in the financial year 2010 than the prior period.”

Geekdom has made several job cuts this year. But its boss Troy Rushton told Mumbrella that it had not been making anymore redundancies as recently as last week, despite industry speculation.


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