Thursday, August 26, 2021

THE CAPITALI$T PRESS
Germany's Axel Springer signs deal to acquire Politico



Issued on: 26/08/2021 - 15:46

Mathias Doepfner (pictured March 2019), chairman of German news publisher Axel Springer, said it will be "a privilege and a special responsibility to help shape" Politico's future Bernd von Jutrczenka dpa/AFP/File


Washington (AFP)

German publisher Axel Springer signed a deal to acquire the US-based news organization Politico, along with the remaining shares of their Politico Europe joint venture, the companies announced Thursday.

The 15-year-old Politico, which gained a reputation for insider Washington political reporting, will continue to operate as a separate entity with founder Robert Allbritton keeping his role as publisher, according to a joint statement.

The deal calls for the German firm to acquire all of Politico's US operations and the 50 percent of Politico Europe it does not already own, as well as Politico's recently launched technology website Protocol.

The deal expands the holdings of Axel Springer, known for the German newspapers Bild and Welt, as well as the US-based Insider (formerly Business Insider) and the website Morning Brew.

Terms of the deal were not announced, but reports have said Politico was seeking more than $1 billion.

"Politico's outstanding team has disrupted digital political journalism and set new standards," said Axel Springer chief executive Mathias Doepfne.

"A true North Star. It will be a privilege and a special responsibility to help shape the future of this outstanding media company. Objective quality journalism is more important than ever, and we mutually believe in the necessity of editorial independence and nonpartisan reporting. This is crucial for our future success and accelerated growth."

Politico made a name for itself as a subscription-based specialized online news site, as traditional print media suffered from a consumer shift to digital, and has been among the few to reach profitability.

"Together we have built what is without a doubt the most impressive and most enduring of the many experiments in new publications over the past generation," Allbritton said.

"My 15-year adventure with Politico has been the ride of a lifetime. I reach this milestone with a sense of satisfaction that I hope is shared by every Politico... As Politico has prospered in recent years, accompanied by the successful launch of Protocol, it became steadily more clear that the responsibility to grow the business on a global scale."

© 2021 AFP


Forbes media group to list shares, raises $400 million
Issued on: 26/08/2021 - 
According to the company, the Forbes brand reaches more than 150 million people worldwide through its websites and events, with 45 editions covering 76 countries (a copy of the magazine's Vietnamese edition of Forbes Magazine is pictured June 2013) HOANG DINH NAM AFP/File

Washington (AFP)

Forbes, the media group known for its long-running business magazine, said Thursday it would become a publicly traded company after securing $400 million in financing.

Forbes Global Media Holdings Inc. will become a listed company on the New York Stock Exchange under a deal with a special purpose acquisition company (SPAC) called Magnum Opus, sponsored by the private equity firm L2 Capital.

The media group was sold in 2014 to Asia-based investment group Integrated Asset Management Limited, founded by Tak Cheung Yam.

Forbes magazine was launched in 1917 by Scottish immigrant BC Forbes and run by his son Malcolm Forbes before being taken over by Steve Forbes, a onetime presidential candidate. But it had struggled as readers turned to digital news.

According to the company, the Forbes brand today reaches more than 150 million people worldwide through its websites and events, with 45 editions covering 76 countries.

"It has been exciting to watch the Forbes management team successfully complete a digital transformation since we have been involved, and then deliver record annual returns," said Yam.

"This is a testament to the outstanding, seasoned executive team, the consistently trusted quality of Forbes journalism and the dedication of the entire Forbes team. Now, it is time for the next exciting chapter in the Forbes narrative, one in which we are happy to remain involved as a significant investor and partner."

Mike Federle, CEO of Forbes said, "With this transition into a publicly traded company, Forbes will have the capital to accelerate growth by executing its differentiated content and platform strategy and fully realize the potential of our iconic brand."

The transaction values the company at $630 million and is expected to close in late fourth quarter 2021 or early first quarter 2022, a statement from the groups said.

© 2021 AFP

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