DirectAmerica to Be Bought for $7 Million in Stock

DirectAmerica Corp., an Oxnard television infomercial production company, has agreed to be acquired by a Philadelphia infomercial maker for stock valued at $7 million.

The deal calls for DirectAmerica to retain its name, operating as a wholly owned subsidiary of its new parent, National Media Corp. No personnel changes are expected.

Jack Kirby, DirectAmerica’s chairman and chief executive, will retain the latter post and will also become executive vice president of National Media, according to the companies.

DirectAmerica says one or more of its program-length commercials have been among the industry’s top moneymakers every week for the past three years.

The company has turned out several programs for its proposed new parent and other marketing firms, including “PowerWalk Plus” and “Touchless Car Wax Systems.”

National Media describes itself as the world’s largest publicly held infomercial maker. Its president and chief executive, Mark P. Hershborn, said that DirectAmerica is especially adept at making infomercials for fitness products.

“To get a profitable producing company of this caliber--one that has a track record of finding unique new products--while eliminating fees and royalties we would normally pay them, is a great value,” he said.

Kirby is a former producer of several television and radio programs, including “Nightwatch” for CBS-TV and the Larry King radio talk show.