Trinity Mirror to Take Full Ownership of Local World
Trinity Mirror has announced the proposed acquisition of all of the shares in Local World not already owned by the publisher.
The acquisition, which will see Trinity Mirror purchase the 80.02 per cent shareholding that it does not already own, values Local World on a debt-free cash-free basis at £220 million.
The board believes the acquisition will transform Trinity Mirror into the UK’s largest regional news publisher and create a stronger and more resilient organisation enabling the Group to accelerate its strategic transformation, the publisher said in a statement.
The acquisition will further enhance Trinity Mirror’s digital reach to comprise a network of publishing websites delivering 120 million monthly unique browsers and 790 million monthly page views, the publisher added.
Trinity Mirror has also agreed to sell certain Local World titles in Cambridge and Hertfordshire to Edward Richard Iliffe, Yattendon Group owner, which holds a 21.3 per cent stake in Local World, for £15.8 million.
Simon Fox, Trinity Mirror chief executive, said: “This is a good day for local media. Local World is a business we know and respect and by combining it with Trinity Mirror we will create an organisation of scale, with the talent and financial capacity to invest and adapt to the rapidly changing media landscape. It is a vote of confidence in local press and its future.”
David Montgomery, Local World chief executive, said: “Local World was founded three years ago with a clear vision to reinvigorate regional media with an unrelenting focus on our content, audience and advertisers.
“I am proud of what we have achieved. Local World is full of energy and talent and Trinity Mirror is acquiring a vibrant business with a strong future. I want to take this opportunity to thank everyone who has made Local World the success it is today.”
On completion of the deal, with the exception of Simon Fox and Vijay Vaghela, all executive and non Executive directors will resign as directors of Local World. David Montgomery and Lisa Gordon will also leave the business shortly after completion.
Rachel Addison, the chief operating officer of Local World, will be promoted to the role of managing director, Local World, reporting to Simon Fox.