Latest News

ACP beats Pacific to the draw – buys Emap for $94 million

Wednesday, 12 September 2007
By Print21

Controversial magazine deal draws the attention of competition cop.

 

Pacific was considered to be the favourite for ACCC go ahead, due to its smaller share of the magazine market. Emap’s four per cent share, coupled with ACP’s 48 per cent share pushes the company above the 50 per cent mark, reinforcing its dominant position.

The Australian Competition and Consumer Commission is yet to approve the merger, with a decision not due until 27 September. It is unlikely to knock back the deal as entering the competitive magazine market is relatively easily for anyone with the  money and the nerve.

The deal comes amid growing specualtion that ACP is scoping the possibility of re-entering the printing market with its own presses. The deal sounds a goer, if only because of the huge print runs it generates for its own titles. The company has been press adverse since Frank Packer sold the Daily Telegraph newspaper to Rupert Murdoch in 1972.

PBL Media CEO Ian Law is reported as saying that the synergies between ACP and Emap’s titles made it an attractive purchase. "We believe the Emap portfolio is the one that fits best with our business – the titles here are leaders in their segments and Emap in the UK has a history of good publishing initiatives that will be available for us in the future," he said.

"We are confident that with synergies and operational movements we will achieve a strong return on the Emap investment and it will bolster our overall portfolio."

Emap publish 23 titles including men’s magazines FHM (rival to ACP’s Ralph) and Zoo, film magazine Empire and New Woman.

Comment on this article


To receive notification of comments made to this article, you can also provide your email address below.