San Francisco - Gay media firm PlanetOut (NASD: LGBT) announced on Thursday that it will sell its publishing business -- which includes the magazines Out and The Advocate -- to fellow gay media firm here Networks for $6 million.

The deal, terms of which also call for PlanetOut to promote here's film and TV programming, is expected to close by Aug. 31.

San Francisco-based PlanetOut raised $24 million in a private placement last July, and said in January that it had hired Allen & Co. to explore strategic opportunities, including a possible sale.

The company reiterated that it is still exploring additional options.

"here Networks Co-Founders Stephen P. Jarchow and Paul Colichman have long been admirers and strong supporters of The Advocate and Out, and we believe that our magazines, their associated websites and Alyson books will thrive under here's ownership," said PlanetOut CEO Karen Magee.

"Most importantly, we believe that the divestiture of our publishing businesses will enable PlanetOut Inc. to devote all of our attention and resources to our core online businesses, Gay.com and PlanetOut.com."

Related Links:
http://snipurl.com/24213

http://snipurl.com/241v7 (Bizjournals.com)

http://www.planetoutinc.com

http://www.advocate.com

http://www.heretv.com