from the presentation given investors 11/27/2017
Des Moines-based Meredith Corporation is paying over $3 billion to buy New York-based Time, Inc. and its family of magazines.
The publisher of Better Homes and Gardens, Martha Stewart Living and others will add People Magazine, Time Magazine and a host of others to its fold.
At an investors call this morning officially announcing the deal, the company says the Time Board of Directors last week officially approved the purchase. They turned down a similar offer in April, saying they wanted to keep the company under its current ownership.
Meredith President Tom Harty told investors that the Meredith management team would lead the combined company. He says the deal will pay $18.50 cash to each of Time's shareholders plus Time's existing debt will be refinanced.
No decisions have been revealed about jobs at the New York City-based Time, Inc. offices. But Harty said they're still exploring options to reduce costs, hinting of the cost difference between positions in New York and those in Des Moines.
Meredith secured $3.55 billion in financing for the purchase. The company says $650 million of that came from a company controlled by conservatives Charles and David Koch. Harty told investors Monday that the Koch company never asked for and will not be given a seat on the Meredith board and will have no power over editorial decisions.