Time Inc rejects Edgar Bronfman Jr's $18 a share takeover bid
29 November 2016
Time Inc, which owns and publishes over 100 magazine brands including Time, has rejected a takeover bid from billionaire investor Edgar Bronfman Jr., New York Post yesterday reported.
Bronfman, who has teamed up with Russian-born billionaire Len Blavatnik's Access Industries, recently submitted an $18 a share takeover bid, the report said.
The offer price is a 30-per cent premium over Time Inc's Friday closing price of $13.
Also a part of the consortium is Israeli businessman Ynon Kreiz, the New York Post reported, citing reliable industry sources.
Founded in 1922 by Henry Luce and Briton Hadden, New York City-based Time Inc owns and publishes over 100 magazine brands, most notably its flagship Time.
Its other magazines include Sports Illustrated, Travel + Leisure, Food & Wine, Fortune, People, InStyle, Life, Golf Magazine, Southern Living, Essence, Real Simple, and Entertainment Weekly.
It also owns the UK magazine house Time Inc. UK, whose major titles include What's on TV, NME, Country Life, Wallpaper and InStyle.
Time Inc. also operates over 60 websites and digital-only titles including MyRecipes, TheSnug, HelloGiggles and MIMI.
Like many other publishers, Time Inc. has been hit by a decline in print ad sales since advertisers spend more on other media and readers increasingly move online, but its digital advertising is doing well with revenue rising 63 per cent in the latest quarter.
The company has also been saddled with $1.5 billion in debt after it spun off from Time Warner in June 2014,