Late last night, rumors were buzzing around negotiations between former Vibe Magazine Publisher Leonard Burnett Jr. and the owners of Uptown Magazine. And according to Ad Age in the wee hours of the morning, Uptown accompanied by tech marketing partner, Blackrock Digital finalized the deal to purchase urban royalty reviving the company after its shutdown in June.

According to the press release, Vibe.com will be immediately re-launched with its online strategy being the centerpiece of the brand moving forward. In a surprising development, Vibe Magazine WILL re-launch in print format in November/December 2009, to be followed by quarterly issues in 2010.  The issues will be more comprehensive but circulation will be capped at 300k per print issue down from 600k prior to the shutdown.

According to the Wall Street Journal, Uptown plans to create “a Web-focused publication with a greater emphasis on Vibe’s roots.”  However, according to the report, Uptown also intends to expand the magazines scope to include other genres of music and lifestyle and step beyond its flagship hip hop space.

Blackrock Digital will play a key component and be responsible for oversight of integrated sponsorship and ad sales across all network properties and brands. Blackrock Digital had been working with Vibe over the past four years as a contractor, however utilizing its 20 other music and entertainment websites it represents, it will integrate Vibe into a new network strategy.

Founded in 1993 by Quincy Jones and Time Warner, Vibe has been the preeminent brand in hip-hop & R&B lifestyle and culture for the past 16 years and has been responsible for setting trends urban culture has ascended to the mainstream.

Since 2006, Vibe Magazine had been owned by the Wicks Group which initially paid a reported $35 million, with venture capital financing from CapitalSource. Terms of the new deal haven’t been disclosed but its safe to say, given its position and the economy, the magazine was probably sold at a loss.  Since the magazine’s shutdown reports are that CapitalSource has been pushing to find a buyer in effort to recoup some investment.  The purchase was financed by private equity provider InterMedia.

Vibe’s new leadership will include original Vibe team members Burnett and Robert Miller, Uptown Magazine Co-Founder Brett Wright and Blackrock Digital Partners Chris Smith and Parker McNaughton.  Uptown plans to hire between 16 and 20 new employees who will focus on print and digital.

The return of Vibe is not a surprise given the brand’s equity within the Hip Hop space.  I am however shocked that the print edition of the magazine will make a comeback.  With online consumption of media increasing exponentially and newsstand and subscriptions plummeting, the entire industry has been faced with cutbacks and shut downs.  Only those willing to make the jump to digital-only have maintained a positive outlook.  Though risky, their strategy to broaden the magazine’s focus and cap circulation may allow Vibe to continue to flourish on newsstands despite current trends.