From Deseret News archives:

Reader's Digest approves its $1.6B cash purchase

Published: Thursday, Nov. 16, 2006 6:59 p.m. MST
 |  E-MAIL | PRINT | FONT + - 
NEW YORK (AP) — Reader's Digest Association Inc., an iconic publishing and direct-marketing company, has agreed to be purchased by an investor group led by Ripplewood Holdings LLC, a private equity firm, for $1.6 billion.

The deal, announced Thursday, brings to an end a 16-year run for Reader's Digest as a publicly traded company. Reader's Digest went public in 1990 but had been controlled by a charitable foundation set up by the company's founders until 2002.

Ripplewood is paying $17 in cash for each Reader's Digest share, a premium of 10 percent over the stock's closing price Wednesday.

Ripplewood already has other publishing and direct marketing businesses, including the Weekly Reader magazine distributed to schools, The World Almanac, as well as the Time Life business, a former Time Inc. property that is a direct marketer of music, books and other products. Time Inc. is a unit of Time Warner Inc.

It was not yet clear whether the deal would result in management changes at the Pleasantville, N.Y.-based company, and representatives from both Ripplewood and Reader's Digest declined to comment.

Comments

You can be the first to comment on this story.

previousnext

Latest comments

Wow. 500000 dollars for a report of 200 plus pages. No wonder psychiatry...

Mitchell is not going away for life, folks. Get real.

Hike of the Week: Sentry Park Trail

I've been to Antelope Island many times and always respect the rule that says...

Could every one tell their kids to stop? Thanks!

Jazz notes: KJZZ-TV wins Emmy

It's gotta be the end of the world!

Past Mr. Football winners

Tate never had cancer....get your facts straight! He transferred after his...

The Oregonian says Oregon State will most likely go to the Vegas Bowl against...

Re: What?! I love how you think only pregant women live in SLC--and that...

Thank God the mother And child are doing welk

@The dozen or so Muslims... "I've known have been, to a person, better humans...

Advertisements