Santa Monica, Calif. - Demand Media, Inc. (“Demand Media”) (NYSE: DMD) announced today the closing of its initial public offering of 10,235,000 shares of common stock at a price of $17.00 per share. Demand Media’s common stock is listed on the New York Stock Exchange under the symbol “DMD.”

Demand Media sold 5,175,000 shares of common stock, and the selling stockholders sold 5,060,000 shares of common stock in the offering. Demand Media received net proceeds of approximately $77.2 million from the sale of its shares, after deducting the underwriting discount and estimated offering expenses. Demand Media intends to use the net proceeds for investments in content, international expansion, working capital, product development, sales and marketing activities, general and administrative matters and capital expenditures. Demand Media will not receive any of the proceeds from the sale of shares of common stock by the selling stockholders.

Goldman, Sachs & Co. and Morgan Stanley & Co. Incorporated acted as joint book-running managers for this offering. UBS Securities LLC, Allen & Company LLC, Jefferies & Company, Inc., Stifel, Nicolaus & Company, Incorporated, RBC Capital Markets Corporation, Pacific Crest Securities LLC, Raine Securities and JMP Securities LLC acted as co-managers for this offering. Copies of the prospectus may be obtained by contacting Goldman, Sachs & Co., 200 West Street, New York, NY 10282, Attention: Prospectus Department (Tel: +1 866 471 2526; Fax: +1 212 902 9316; e-mail: prospectus-ny@ny.email.gs.com) or Morgan Stanley & Co. Incorporated, 1585 Broadway, New York, NY 10036, Attention: Prospectus Department (Tel: +1 866 718 1649; e-mail: prospectus@morganstanley.com).

A registration statement on Form S-1 relating to the initial public offering of shares of Demand Media’s common stock was declared effective by the U.S. Securities and Exchange Commission (the “SEC”) on January 25, 2011. Copies of the registration statement can be accessed through the SEC’s website at www.sec.gov. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.