Penthouse and Playboy, after decades of battling it out on the newsstands, are gearing up for another fight - an ownership struggle.
Penthouse owner FriendFinder Networks announced that it was making a $210-million unsolicited bid for Playboy magazine publisher Playboy Enterprises.
The Boca Raton, Florida-based FriendFinder's offer for the rival adult empire came three days after Hugh Hefner, Playboy's 84-year-old founder, offered to buy all of the outstanding shares in the company to take it private.
In a letter to Playboy's board of directors, FriendFinder proposed a July 21 meeting to discuss the bid, which it said trumpsMr Hefner's offer that values the company at $185 million.
FriendFinder said that its proposal "is in the best interest of Playboy Enterprises and its stockholders, providing a basis for future growth of the Playboy brand and enhancing the Playboy legacy.
"We are very excited about the prospect for the combination of Playboy Enterprises and FriendFinder Networks," FriendFinder president and chief executive officer Marc Bell said. "We look forward to Mr. Hefner and other key members of management being an integral part of the combined companies."
"We envision that following the completion of the proposed transaction, Mr Hefner would retain editorial control of Playboy Magazine and would be entitled to reside in the Playboy Mansion," FriendFinder's Bell said in the letter.
Playboy's board said it had received FriendFinder's offer and would give it "appropriate consideration".
Unveiling his plan to take the company private today, Mr Hefner said he was "not interested in any sale or merger of the company."
He said he wanted to take Playboy private to "reinvigorate the company" and "create a lasting legacy for the Playboy brand".
Mr Hefner, who launched Playboy in 1953, is teaming up with a private equity company, Rizvi Traverse Management, to purchase the outstanding shares in Playboy Enterprises for $5.50 per share.
According to Playboy Enterprises, Mr Hefner currently controls 69.5 per cent of the company's Class A common stock and 27.7 per cent of its Class B common stock.
Playboy, known for its curvaceous centrefolds and bunny logo, went public on November 3, 1971 and enjoyed decades of success. It has been struggling in the digital age, however, and was threatened with delisting last year.
Mr Hefner's daughter, Christie Hefner, stepped down as chairman and chief executive of Playboy Enterprises last year.
Besides its flagship magazine, the Chicago-based Playboy Enterprises also operates the Playboy and Spice television networks and the Playboy.com website.
FriendFinder operates a number of adult-oriented social networking websites including FriendFinder.com in addition to Penthouse magazine.