Petersen Sale Closes ‘Difficult And Unhappy Chapter’ In EMAP’s History
EMAP has this morning confirmed the sale of its USA business to US consumer publisher, Primedia, for approximately $515 million (£366 million). The disposal has been anticipated for some time and follows EMAP’s failure to effectively consolidate the finances of the business – a problem which lead to the eventual resignation of chief executive Kevin Hand (see EMAP Chief Resigns As Results Come In Line With Expectations) and was this morning described by EMAP as a ‘difficult and unhappy chapter’ in the company’s history.
The US edition of men’s lifestyle magazine, FHM, is not included in the sale and EMAP says it intends to developed the title ‘further and faster’; it is already published in 15 different countries. The group is also now to concentrate on its core assets in the UK and France.
Commenting on the sale, Robin Miller, group chief executive, said: “The impending sale, of what was the old Petersen business, closes a difficult and unhappy chapter in EMAP’s history. In the context of a difficult US market we regard the sale as a reasonable result. With a renewed focus on our core skills and core assets, I am confident we can move our business forward and regain the success that both we, and our shareholders, are used to at EMAP.”
Shares In EMAP were boosted on the news and stood up 25½p at 725½p by mid-morning.
