Cinven has sold the IPC Group, which it bought from Anglo-Dutch publisher Reed Elsevier in January 1998, to Time Inc, which is a wholly owned subsidiary of AOL Time Warner Inc. The purchase price for IPC Group was reported at £1.15 billion including the cash in the company.
IPC Magazines Limited was sold to Cinven with net assets, including good will, of £230 million at an overall purchase price of £860 million. In October 1998 IPC acquired Link House Magazines for approximately £25 million, which added some 30 brands to the IPC portfolio. Currently IPC has something in the region of 100 brands and sells 350 million magazines annually in its five core areas of women, TV, home & garden, leisure and men’s lifestyle & entertainment.
For Time Inc the acquisition furthers its ambition to expand outside the US as well as providing synergies with other AOL Time Warner brands.
The acquisition is subject to EU approval.