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AOL may buy IPC Media
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July 13, 2001: 12:11 p.m. ET
U.S. firm, U.K. magazine publisher could clinch deal next week
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NEW YORK (CNNfn) - AOL Time Warner Inc. is in talks to buy U.K. publisher IPC Media and an agreement is expected to be announced next week, a source told CNNfn.com.
Both Cinven, the U.K. investment firm that controls IPC, and Time Inc., a unit of AOL Time Warner, confirmed Friday that negotiations are under way.
Time Inc. would acquire IPC's portfolio of more than 100 titles that include such magazines as Marie Claire and Loaded.
The Financial Times, which first reported the talks, pegged the price at $1.5 billion to $1.75 billion.
However, a source close to the transaction said that price tag is too high. But a deal is expected to be announced by the end of next week, the source said.
"There can be no assurance that a transaction will result and the parties do not intend to make any further announcement until the conclusion of these discussions," Cinven said.
London-based Cinven is a private equity group that is a majority shareholder of IPC. It bought the publisher in 1998 from Reed Elsevier PLC for £860 million.
New York-based AOL Time Warner (AOL: up $1.55 to $50.05, Research, Estimates) is the parent company of CNNfn.com 
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