In a surprise move, two German bookstores — Thalia, the market leader, and Mayersche, a large regional chain — announced plans to merge, a deal that will first need to be approved by Germany’s Federal Cartel Office. While terms of the deal remain undisclosed, the Falter family, which owns Mayersche, will become partners in the consortium that owns Thalia, which includes the Herder and Kreke families, Leif Göritz, and Thalia ceo Michael Busch. Mayersche’s ceo, Helmut Falter, will join the consortium as a managing partner and member of the board, tasked with the integration of the two companies and future corporate […]
M&A
Vivendi Gets Greenlight to Acquire Editis
The French government’s competition authority has approved Vivendi’s acquisition of Editis, the second-largest book publisher in France after Hachette Livre, finding that the transaction “was not likely to undermine competition in the markets for cultural property.” The Authority “took into account the respective market shares of the parties, the organization of the relevant markets, the competitive pressure exerted by the competitors and the counter-power of certain customers, in particular in the digital sector” and dismissed “any competition problem.” The €900 million deal was formalized in mid-November after several months of negotiations, and is now expected to close right away. Owned by […]
One Wholesaler to Rule Them All? Ingram Reportedly Looking at Baker & Taylor Acquisition
The Federal Trade Commission is reportedly conducting a “preliminary nonpublic investigation” about booksellers’ use of major wholesalers, Shelf Awareness reports, and telling some interview subjects that the queries are related to the possibility of Ingram acquiring Baker & Taylor. One person interviewed characterized it as a “fact finding” mission to investigate the effects of a consolidation that would leave the industry with a single major wholesaler, servicing both retail and library markets. ABA CEO Oren Teicher said, “To our knowledge, there has never been an instance in the book business when the elimination of competition–and a further concentration of decision-making in fewer hands–has […]
YA: Abrams Cancels Graphic Novel; Lerner Acquires Zest Books
Abrams has cancelled publication of controversial graphic novel A SUICIDE BOMBER SITS IN THE LIBRARY by writer Jack Gantos and illustrator Dave McKean, which was to be released in May 2019. The decision was made “together with the book’s creators,” after the title received criticism online. Abrams said in a statement, “While the intention of the book was to help broaden a discussion about the power of literature to change lives for the better, we recognize the harm and offense felt by many at a time when stereotypes breed division, rather than discourse.” The cancellation follows posts on Twitter by Zainab […]
Vivendi Formalizes Deal to Buy Editis In France
Three months after announcing “exclusive negotiations with Grupo Planeta,” last week in reporting third quarter earnings Vivendi said it had signed a share purchase agreement for French publishing group Editis. The deal requires approval from the French Competition Authority, though Vivendi says preliminary “favorable opinions” were issued on November 8, and September 13. They hope the deal will close “in late 2018 or early 2019.” Beyond that, there are no new details about the terms. They reiterate their previous statement from the summer that Editis’s enterprise value is €900 million.
Corporate: Trustbridge Buys Peachtree; Pearson Sells Property
Trustbridge Global Media, an affiliate of Shanghai-based private equity and venture capital firm Trustbridge Partners, bought children’s publisher Peachtree Publishers in a deal that closed November 7. The company will now be called Peachtree Publishing Company. Based in Atlanta, the publisher has operated since 1977, and maintains a backlist of adult titles in addition to children’s books. Trustbridge acquired Holiday House in 2016, and former Peachtree owner Anna Quinlin, who stays on as president and publisher, said this is the “best model” for how Peachtree operations will look. She stated that Trustbridge is “keen to expand children’s content into other areas” but for […]