Scholastic has signed a deal with children’s content creator, producer, and distributor 9 Story Media Group, in which it will acquire 100 percent economic interest in the company, as well as minority voting rights, for approximately $186 million. The two companies have previously collaborated on TV projects including the “Clifford the Big Red Dog” reboot for PBS Kids and Amazon Prime Video and “Eva the Owlet” on Apple TV+. Scholastic ceo and president Peter Warwick said in a release, “This highly strategic combination, adding 9 Story’s industry-leading capabilities with Scholastic’s trusted brand and proven ability to create iconic children’s series and […]
Finance
KKR’s “Base Case” Is to Own Simon & Schuster for Five to Seven Years
Bloomberg Television interviewed KKR co-head of global private equity Pete Stavros and Simon & Schuster ceo Jonathan Karp recently. Asked how long KKR plans to own S&S before exiting, Stavros noted, “We’ve owned business for 20 years before. It takes as long as it takes….” Primarily, however, “Our base case would be this is five, six, seven years. We’ve got a bunch of things we want to accomplish. Maybe it becomes a great public company some day; we’ll see. We’re not in a hurry.” Stavros suggested a leaner supply chain is part of their strategy: “Foreacasting demand for a new […]
Acquisitions: Belt Publishing
Arcadia Publishing has acquired midwest publisher Belt Publishing. They write in a release that Belt will maintain editorial independence and publish under its existing brand. Arcadia ceo Brittain Phillips said, “Belt provides Arcadia with two terrific opportunities in one acquisition. It strengthens our local and regional catalog in the Midwest, where Belt has been publishing remarkable books for a decade. And as we look to the future, Belt helps to expand the way we think about local-interest publishing, with new voices and fresh ways to define sense of place.”
Indigo Receives Buyout Offer
Indigo’s largest stakeholder has made a bid to buy out the remaining shares of the company and take it private, the Canadian Press reports. Trilogy Retail Holdings and Trilogy Investments own 56 percent of the company and would acquire the rest of the shares at $2.25 in cash per common share. At the time of the announcement, the stock price was $1.50. On Monday, it closed at $2.15. Both Trinity companies are personal holding companies owned by Gerald Schwartz, who is married to Indigo CEO Heather Reisman. Schwartz is on Indigo’s board.
Vivendi Proposes Splitting Up Its Companies
Vivendi has proposed splitting its divisions into separate companies, each of which will be listed on the stock market, the company announced this week. “Since the distribution and listing of Universal Music Group in 2021, Vivendi has endured a significantly high conglomerate discount, substantially reducing its valuation and thereby limiting its ability to carry out external growth transactions for its subsidiaries,” they said in a release. Publishing and distribution assets will make up one group, including Vivendi’s controlling stake in Lagardere and their ownership of French media company Prisma. “This entity would foster collaboration between the different activities related to […]
Tattered Cover Files Reorganization Plan, with Higher Debts Than Originally Declared
Following their first filing for voluntary bankruptcy in mid-October, the owners of Tattered Cover filed a reorganization plan with the US Bankruptcy Court for the District of Colorado earlier this week. While the store group initially said it lost about $660,000 during the year last year and owed at least $1.375 million to publishers and Colorado’s Office of the State Auditor for abandoned gift cards, the new documents depict a more severe situation. As of the initial filing in October, they had secured debt of approximately $820,000, and unsecured claims of just over $3.2 million. In the previous year, 2022, […]