Endemol buys 50% stake in Holy Moly

Former Big Brother producer Endemol UK has reportedly acquired a 50% stake in celebrity gossip website Holy Moly.

According to The Guardian, Endemol has made a "significant" investment in the nine-year-old site to help it expand into other areas, such as TV, music and fashion.

Holy Moly will continue to be managed by its founder Jamie East, who is hoping to expand the site into overseas markets.

East, the son of former Sky Sports executive Trevor East, said that it is important for Holy Moly to look beyond gossip about celebrities such as Alex Reid, Katie Price and Cheryl Cole.

"It needs investment to keep growing - there is not much point in just standing still. The celebrity market is pretty stagnant and is not about to get any better," East said.

"Celebrity will still be the focal point of the site, but with social networks such as Twitter I don't think there is going to be a life for a website that just deals in celebrity gossip for much longer."

Under the deal, Holy Moly's six-strong team of full-time staff will relocate from the firm's offices on London's Charlotte Street to Endemol's base in Shepherd's Bush.

Tim Hincks, the Endemol UK chief executive, described Holy Moly as a "brilliant success story in online entertainment", and said that East is an "inspired creative talent who we are tremendously excited to be working with".

East set up Holy Moly in 2002 as a competitor to Popbitch while still working as head of operations at Sky's broadband division. He concentrated full-time on the site three years later.

Previously, East masked his true identity when representing Holy Moly, often wearing a balaclava during TV appearances. But now he feels that the time is right for the site to grow up.

"I'm 37 now and it's tiring and a bit embarrassing to put a balaclava on at this stage. It puts people at ease when they deal with us - they can rest assured we are not going to try to squirt water in their face," he said.

"It feels like the right time. Holy Moly is not as risky as it once was - I don't think I am going to lose my house every time we publish a story - and I'm also really proud of it. I've always been proud of it."