Acquisition of PC Zone and CVG titles
23rd August 2004
The Future Network plc ('Future'), the international special-interest consumer magazine group, today announces that it has acquired the title and goodwill of two UK magazines from the Dennis Publishing group for a consideration of £2.5m in cash.
Future has acquired two games titles, PC Zone and Computer & Video Games, together with the related website, computerandvideogames.com.
Turnover for the year ended 31 December 2003 amounted to £4.0m and the estimated profit attributable to the assets being acquired was £0.5m. The business has 21 staff and is being acquired free of financial debt.
PC Zone is the UK's longest-running PC games title, having been launched in 1993. It sold a monthly average of 41,073 copies during the six months to 30
June 2004 (source: ABC). In this period, Computer & Video Games sold a monthly average of 19,162 copies, which was a 40% year-on-year reduction in circulation. For this reason, Future anticipates suspending this publication in its current
form.
Future anticipates that the acquisition will enhance 2005 adjusted earnings per share and Future also expects to achieve in 2005 a post-tax return on this investment in excess of its weighted average cost of capital.
Commenting on the acquisition Greg Ingham, Chief Executive of The Future Network plc said:
'This acquisition is a useful addition to our portfolio of titles in the games area, and the well-respected computerandvideogames.com site adds to our existing successful online presence.'
Click here to subscribe to PC Zone
 Back to Magazine News & Articles Index
Publishers if you would like to send in your magazine news stories and press releases, we can make sure they appear on this page. |
