Lagardère SCA has received a fully binding offer of €651 million from Hearst Corporation, for its non-French magazine business with an attached share purchase agreement. The business, which generated revenues of €774 million in 2010, includes 102 titles in 15 countries (The United States, Russia & Ukraine, Italy, Spain, UK, China, Japan, The Netherlands, Czech Republic, Hong Kong, Mexico, Taiwan, Canada and Germany). The deal includes a license allowing Hearst to continue publishing Elle magazine and Elle across other media for a fee of circa €8 million per year.
Lagardère will retain, in some European countries, real estate assets, currently used by the international magazine business, worth around €30M.
Closing of the transaction is expected by Q3 2011.
- Negotiations for Hearst’s Acquisition of Lagardere’s International Press and Magazine Business confirmed Posted onJanuary 5, 2011
- Lagardère may sell its portfolio of international titles either Hearst Corp or Bauer Media Group Posted on December 21, 2010
- Hearst Corporation acquires iCrossing Posted onJune 6, 2010