Hearst to buy Lagardere mags for $887 million
The US publisher Hearst has agreed to pay 651 million euros ($887 million) to buy the French media group Lagardere's international stable of magazines, the latter announced Monday.
The offer includes 102 titles in 15 countries outside Lagardere's French base, including the local versions of the flagship women's monthly Elle.
Lagardere will continue to own the "Elle" trademark and to receive annual royalty payments based on its sales, while also overseeing the title's "brand consistency" through its management network.
The deal includes Lagardere's magazines in the United States, Russia, Ukraine, Italy, Spain, Britain, China, Japan, The Netherlands, the Czech Republic, Hong Kong, Mexico, Taiwan, Canada and Germany.
In some countries the deal may be subject to government or competition authority approval, but the two companies are in exclusive talks and expect to go ahead with a sale that is "not subject to any further due diligence".
While Lagardere is best known for Elle and book publishing, Hearst owns Cosmopolitan and Good Housekeeping as well as a large US newspaper group, 29 television stations and more than 200 magazines around the world.
© 2011 AFP