Trinity Mirror’s investment bank, NM Rothschild, is presenting findings of its quarterly review to the publisher’s board today, with reports suggesting the company could consider separating into national and regional newspaper operations.
It is understood that if such a decision were to go ahead, Trinity Mirror would effectively separate its 240 regional UK titles, which include
The Western Mail,
Liverpool Echo and
Birmingham Mail, from its national newspapers, which include the
Daily Mirror, the
Sunday Mirror and
The Daily Record into two quoted businesses.
In July 1999, then regional newspaper publisher Trinity and Mirror Group agreed a £2 billion merger to create the UK’s largest combined national and regional newspaper group.
There has been speculation for some time that Trinity Mirror has been considering the possibility of selling off its national titles, including the Daily Mirror and the Racing Post, in an attempt to realise shareholder value in the business.
Last month, the publisher received a renewed £550 million offer for the Daily Mirror from millionaire businessman Marcus Evans, who previously bid between £700 million and £800 million in 2004 (see Daily Mirror Could Be Sold To Millionaire Businessman).
The group’s profits declined by 12.8% to £98.1 million in the first half of 2006, with the fall attributed to the weak advertising market. This forced the publisher to call for a review of its business to be completed by the end of the year, with some analysts saying that the review could lead to Trinity Mirror selling off its national newspaper titles (see Trinity Mirror Review After Profits Fall).
In the summer the group sold its magazines and exhibitions business Inside Communications Ltd (‘ICL’) for £41.5 million (see Trinity Mirror Agrees To Sell Magazines And Exhibitions Business).
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