The Weekly Reader Publishing Group, a division of Readers Digest since 2007, has sold the World Almanac imprint to Infobase Publishing, for undisclosed terms. Infobase president Mark McDonnell says in the announcement, “There are few names in reference publishing as well-known as the World Almanac, so when we had opportunity to add it to our existing family of imprints, we moved quickly. The World Almanac has been and will continue to be a powerful name in reference publishing, and we are excited about bringing it forward as an online resource as well.” Infobase’s imprints include Facts On File and Chelsea […]
M&A
Hachette Buys Control of Salter's Company
In the first acquisition of the year, Hachette Livre has announced the purchase of a controlling interest in Nina Salter’s Editions des Deux Terres, founded in 2002. The line publishes a dozen books a year, focused on literature translated into French (by the likes of Kiran Desai, Julia Glass and Kazuo Ishiguro) and bestselling thrillers from Patricia Cornwell, Jeffery Deaver, Ruth Rendell and others. Hachette call is “an opportunity to strengthen its position in the crucial segment of quality fiction and thrillers.”
Reed Acknowledges RBI May Not Sell
In a brief trading update, Reed Elsevier management had this to say about the sale of their b-t-b inesmagaz: “The process of divestment of Reed Business Information is at an advanced stage although in the present economic and credit environment a satisfactory outcome cannot be certain. As part of the process, a consortium of financing banks are in discussions with a small number of prospective buyers to provide financing. Reed Elsevier has indicated a willingness to provide financing support for any successful bid.” They also noted: “The performance of the magazine and information business has held up well during the […]
How Badly Does Reed Need RBI Sale?
The longer the auction for the Reed Business Information goes on, the more the reported price drops, as the economy continues to slide. The latest rumor in the British media has the offering prices heading below 1 billion pounds, against an initial valuation of at least 1.25 billion pounds. The three bidders left are Bain Capital, TPG and Strauss Zelnick. One person involved in the deal tells the FT, “Reed Elsevier won’t sell at any price but buyers can’t ignore what they are hearing and seeing in the marketplace.” Plus, “Just how much below £1bn remains to be seen.” But […]
More Cracks in Reed Sale; Children's Book Purchase Cancelled
As the hoped-for sale of Reed Business Information’s magazines limps to its third round, Reuters reports that one bank participating in the staple financing package of $1.26 billion has “backed off tentatively,” leaving a potential reduction of $200 in the loans on offer. With “only a few bidders remaining,” they are “re-examining offers amid increasing uncertainty” in credit markets.Reuters In other credit market victims, last week Learning Curve parent company RC2 announced it was canceling their planned acquisition of the children’s publishing division of Publications International. CEO Curt Stoelting said “recent shifts in the capital markets have impacted the availability […]
Borders Warrants Come Due
The WSJ reminds readers that the next phase of Borders’ loan-shark deal with Pershing Square Capital Management kicks in October 1. If the bookseller does not have a deal to sell the company–which is increasingly unlikely given the state of capital markets–then Pershing Square acquires warrants to buy another 5.15 million shares (or almost 8 percent of the company). For now those warrants are nearly worthless, since they are exercised at $7 a share, which is about the highest Borders stock has traded ever since their disclosure of liquidity pressures earlier this year. Pershing Square is already the company’s biggest […]