Austin, Texas based Literati has been acquired by Trustbridge Partners, and plans to use the new support to “increase its reach into schools and to provide a wealth of quality reading material combined with new fundraising solutions.” Founded in 2016 to provide monthly subscription services for children’s books, Literati expanded in 2022 when they acquired Follett School Solutions’ struggling school book fair business. In the announcement, Literati says their book fairs have “nearly $40 million in revenue” and reach 2.5 million students. Terms of the sale were not disclosed, but Literati is reported to have raised at least $52 million […]
M&A
Callaway Attorney Says Company is Looking For a Buyer
At a bankruptcy court hearing on Wednesday, Nicholas Callaway continued to blame other people for his business failure, especially the one entity that was willing to loan him money. Bloomberg reports, “Getting loans from banks or other traditional lenders after the pandemic was difficult, Callaway said. The publisher borrowed $2 million from a foundation, but the loan included onerous terms that contributed to the bankruptcy filing, including a $1 million premium and penalties, he said.” The most recent court filings show a secured lien from the Hoffen Family Foundation, for $1.034 million. Callaway’s current attorney (multiple former attorneys are creditors) […]
World Almanac Sold
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 […]
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 […]