January 24, 2018

Main » Media firm backed by Koch brothers buys Time magazine

Media firm backed by Koch brothers buys Time magazine

28 November 2017

Time about to be purchased by media giant Meredith Corp.

Meredith's brands include Better Homes & Gardens, Allrecipes, Parents and Shape.

While Time Inc. kept stumbling over the years, Meredith grew from strength to strength, even buying local TV stations to help it stand strong against the assault on print media launched by fast-growing digital brands that more suitably address the needs of modern media consumption.

Meredith Corporation and Time Inc. announced the deal on Sunday and Meredith CFO Joseph Ceryanec discussed some of the details in a conference call with investors this morning.

The Des Moines, Iowa-based company said in the statement that the all-cash deal had been approved by both firms' boards of directors and is expected to close in the first quarter in 2018.

Meredith which will take over Time magazines Sports Illustated, Time, People and Fortune said the Koches will have no involvement in its operation and won't have a seat on its board. "We are also creating a powerful digital media business with 170 million monthly unique visitors in the USA and over 10 billion annual video views, enhancing Meredith's leadership position in reaching Millennials".

"I am proud of our accomplishments and thank the talented teams across the company for their extraordinary work, relentless commitment, and passion". CEO Rich Battista said in a statement.

Then earlier this month, the New York Times reported that talks were back on after Charles G. and David H. Koch, who own manufacturing conglomerate Koch Industries but are probably better known for their conservative advocacy, agreed to back Meredith's offer with more than $500 million in equity.

The brothers, who have never owned a media company, "would not have any operational control over the company", sources told The Times, but others warned that they would use the outlets to "promote their brand of conservatism".

Media firm backed by Koch brothers buys Time magazine