SYDNEY: Kerry Stokes' Pacific Magazines has inched closer to PBL Media’s ACP Magazines after the company acquired Time Inc’s four publications, including the weekly celebrity title Who.
Seven’s magazine division today confirmed it has acquired Who, Practical Parenting and Bride To Be and struck a long-term licensing agreement with Time to publish InStyle in Australia and New Zealand.
The deal, believed to be worth around $90 million, excludes the weekly Time magazine.
The acquisition significantly boosts Pacific Magazines' strength in the competitive weekly celebrity market with Who joining other weekly titles Famous, That’s Life and New Idea.
The deal lifts Pacific Magazines share of gross copy sales to approximately 30%. ACP continues as a clear market leader with around 48% of sales.
Nick Chan, Pacific Magazines CEO, said the four Time titles will significantly boost the company’s revenue over the next 12 months. The four magazines are said to generate in excess of $50 million in combined revenue each year.
“The integration of the magazine operations will provide the foundation for Pacific to deliver stronger revenue shares and profitability over the coming 12 months,” Chan said.
“We believe these titles coupled with our own considerable strengths will create a compelling solution for major advertisers.”
Who is one of the strongest weekly titles in the celebrity market, recording a March 2007 Roy Morgan readership figure of 798,000. Its nearest rival is ACP’s NW, the second largest title, with a readership of 625,000.
David Leckie, Seven Media Group CEO, said the acquisition is a “terrific development” for the company.
“We are about connecting with our audiences and creating, building and developing great brands. On those measures alone, today’s agreement with Time hits those benchmarks.
“We are acquiring a quality business, market-leading magazine brands and great people. We look forward to continuing to build our new titles under their current, successful editorial, sales and marketing teams."
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