Magazine publisher American Media Inc. is deepening its bench of titles, announcing Friday that it reached an agreement to acquire 13 brands, including In Touch, Life & Style and Closer from German-based Bauer Media.
American media will wrap the new titles, including the nine brands that made up Bauer’s teen group, into AMI Entertainment Group, which the company said will reach 38 million readers.
AMI did not disclose the cost of the deal.
AMI, which publishes the National Enquirer, Us Weekly and Men’s Journal, said the acquisition should help grow the company’s monthly digital audience. AMI expects the network to reach more than 60 million unique visitors monthly and more than additional 15 million social media fans and followers.
“Today’s announcement underscores AMI investor confidence in our business strategy as we continue to build and grow our Entertainment Group,” said AMI Chairman and CEO David J. Pecker in a statement. “Despite newsstand sales declining 20 percent annually, both Bauer and AMI have continued to invest in the marketplace and we believe there is still a terrific opportunity to grow newsstand revenue. I look forward to welcoming these trusted brands and talented staffs to AMI.”
AMI secured bridge financing from existing investors to fund the acquisition and expects to close the deal by July 1.
David Grinberg, Faye Zhao and Thomas Larkin of Sidley Austin LLP represented Bauer in the sale of both its celebrity group and its teenage and kids group to AMI.