Time Inc. sheds 18 magazine titles
Swedish firm Bonnier will pick up titles for an undisclosed amount, expanding its reach in the U.S. magazine world.
NEW YORK (CNNMoney.com) -- Time Inc. will sell 18 magazine titles, including Parenting and Popular Science, to the Swedish firm Bonnier Magazine Group, the companies announced Thursday.
Financial terms of the deal were not disclosed, although The New York Post reported Thursday that the titles were expected to fetch a price tag somewhere north of $200 million.
Under the deal, Bonnier and an American partner will acquire Time Inc.'s Parenting Group and Time4 Media titles, which include such varied magazines as Parenting, Field & Stream and Skiing.
"This is a smart transaction that advances both the interests of our shareholders and Time Inc.'s future success," said Dick Parsons, CEO of Time Warner (down $0.48 to $22.04, Charts), parent company of Time Inc. and CNNMoney.com.
As a result of the transaction, Bonnier and its U.S. magazine partner, World Publications, will be one of the larger magazine publishers in the United States with 40 titles and annual revenue in excess of $350 million.
The purchase also increases the special-interest magazine holdings of the Stockholm-based Bonnier, which owns such titles as Saveur and Spa.
The sale is the latest headline for Time Inc., the top U.S. magazine publisher, which announced last week it would slash 300 jobs from its payrolls in an effort to cut costs.