Autotrader Deal Could Bring Two Halves Together Again

The owners of both halves of the Auto Trader magazine group are said to be nearing a deal which would unite the two. The conditions thought to be under discussion would create a jointly controlled group called Trader Media Group. This would be formed by venture capitalists BC Partners and Guardian Media Group (GMG), which currently publish parallel regional titles, sharing rights to the Auto Trader name in an arrangement dating back around 20 years.

Trader Media Group would produce around 70 publications and would also include an internet division headed by www.autotrader.co.uk, which is one of Britain’s ten most visited retail sites.

Auto Trader was founded in the 1970s by entrepeneurs John Madejski and Paul Gibbon. In order to develop a national title, they sold on the rights to publish in some regions. In 1982 they also formed an alliance with GMG whereby GMG and Hurst Publishing, which Madejski and Gibbon had a stake in, operated their halves of the business separately. Currently GMG owns five regional Auto Trader Businesses and has joint ownership with Hurst Publishing of a further four regional titles. Two years ago, Madejski and Gibbon sold Hurst Publishing to BC Partners for £260m (see Auto Trader Goes For £260m).

Guardian Media Group: 020 7278 2332