UK car manual publisher Haynes will be acquired by Infopro Digital, its Netherlands-based competitor, in an all-cash deal valued at approximately £114.5 million. Founder and executive chairman of Infopro Digital Christophe Czajka said, “We are committed to working together to create a company that will continue to help define the future of automotive data.” Haynes’ board voted unanimously for the sale, which comes three months after the company announced a search for a buyer. Shareholders will vote on the deal at the next general meeting in March or April 2020. According to the board, almost 82 percent of shareholders have […]
Cengage McGraw-Hill Merger Now Expected to Close in Mid-2020
Reporting Q3 results, Cengage c.e.o. Michael Hanson said that the merger with McGraw-Hill was now expected to close in mid-2020, due to a slower-than-expected regulatory process. Previously the companies had announced an extension of their merger agreement to May, and Hansen said the agreement allowed for another extension to August 1. DOJ approval will likely require divestment of courses across the Cengage and McGraw-Hill portfolio, with an impact that Hansen said was too early to quantify. Cengage is already in talks with purchasers of perspective courses, and the rationale for the merger remains strong. “We remain confident, and are committed […]
Court Allows Choose Your Own Adventure Suit Against Netflix to Move Forward
A Vermont Federal Court judge has ruled that a Chooseco’s lawsuit against Netflix for using its Choose Your Own Adventure brand in its interactive film Black Mirror: Bandersnatch can proceed, by denying Netflix’s motion to dismiss. Released in late 2018, Bandersnatch asks viewers to choose which direction the plot takes, and features visual branding and dialogue that explicitly evokes the popular ’80s book series. Netflix is alleged to have originally pursued a license, and then to have gone forward without one. Chooseco sued for $25 million in damages in January 2019, alleging trademark infringement, unfair competition, and dilution of its […]
Reporting Sales Decline, Indigo “Hit on All Sides” Says CEO
Indigo reported third quarter earnings, with sales of $384 million (CA), down from $426 million for the same period last year. Comparable superstore sales were down 10.1 percent, and online sales declined 12.7 percent. But net earnings rose anyway, to $25.8 million from $21.5 million last year, thanks to “focused efforts to improve margin rates across the business and lower the company’s cost infrastructure.” On the earnings call February 7, when asked when the negative trend in same-store sales growth might reverse, CEO Heather Reisman reflected candidly on a difficult year. She said the company had been “hit on all […]
Harper Reports Weak Holiday Quarter
News Corp. reported earnings for their fiscal second quarter, ending December 31, with Harper Collins registering its third consecutive weak quarter. Sales of $442 million were down $52 million from a year ago, falling 11 percent. EBITDA fell further, down 28 percent, to $63 million from $88 million. The company attributed the shortfalls “primarily due to the difficult comparisons to the prior year” — but it was a soft holiday compared to earlier periods, too. In 2017 sales were $469 million and EBITDA was $78 million. Digital sales increased 5 percent compared to the prior year, primarily due to a […]
Earnings, and Debt, Grow at Waterstones
UK bookseller Waterstones showed improving profit on relatively flat sales in their primary sales report for the fiscal year ending April 27, 2019. The UK stores and website recorded sales of £392.8 million, compared to £385.7 million in 2018, closer to the £394.8 million in fiscal 2017. Profit was £22.7 million, up from £16.3 million in 2018. Any growth appears to have come from outside of book sales, however: The company calls it “a period absent of significant bestselling titles” and notes that “sales of non-book items continued to grow in absolute terms and as a percentage of sales,” as […]