Australia-based private equity firm Mercury Capital will be acquiring Bauer Media’s publishing business.
The acquisition includes Bauer Media Australia’s print and digital assets which cover Women’s Entertainment & Lifestyle; Fashion, Beauty & Health; Homes; Food; Motoring & Trader lifestyle categories, Bauer Media said in a statement on Wednesday.
The agreement also includes those brands recently acquired by Bauer from Pacific Magazines and Bauer’s New Zealand mastheads, the Germany-based media group said.
“Bauer Media remains committed to magazine publishing. This decision supports our strategy to invest in our market-leading brands where we believe we are best placed to do so.”
“We have been proud to be the custodian of these iconic brands in Australia. I would like to thank our talented teams for their commitment and the contribution they have made to Bauer Media. I wish them well for the future,” Bauer Media chief operating officer Veit Dengler said.
The sale is subject to relevant regulatory approvals in Australia, with completion expected by the end of July.
Transaction details have not been disclosed but it was learnt that the price tag is likely to be substantially lower than A$512 million that Bauer paid to purchase the business in 2012, according to several media reports. Mercury Capital has yet to respond to DealStreetAsia’s query at press time.
The deal came at a time as the COVID-19 pandemic hit Australia’s media business hard, with several regional outlets reporting steep declines in advertising revenue, according to Reuters.
Bauer’s expanded portfolio of 43 brands now reaches six in ten Australian women each month; more than 6.5 million women each month across magazines, websites, video, social, customer review sites, podcasts and experiences; a print readership of 6.8 million per year and social connections of more than 30.5 million.
Bauer Media Group is a privately-owned media group based in Hamburg, Germany. The group publishes more than 600 magazines, 400-plus digital products and owns 50 radio and TV stations reaching millions around the world. Its business portfolio also includes printing companies, postal services, distribution services, marketing and media sales.