Merger talks between Europe’s largest publisher, Axel Springer, and Switzerland’s largest publishing group, Ringier (see Axel Springer Stake Up For Sale), are understood to have collapsed.
According to the
Financial Times, the stumbling block was Michael Ringier’s reluctance to relinquish control of his family-owned business to the German rival.
The stake in Axel Springer that Ringier would have acquired will now remain with Deutsche Bank until it can find another buyer. The bank inherited the shares from collapsed media empire, KirchGruppe, as collateral for a loan extended to Kirch, which the company was unable to repay (see Deutsche Bank Temporarily Takes 40% Axel Springer Stake).
