Further to Tuesday’s story, the talks between IPC Group and AOL Time Warner concerning the sale of IPC Magazines, ended yesterday with an unequivocal ‘no thanks’ from the UK publisher.
As predicted [WAMN: 12-Jun-01], the deal foundered on price with IPC showing the door to the US multimedia giant after it refused to better its valuation of between £850 million to £1.1 billion. It is also thought that cultural differences between the two groups contributed to IPC’s decision.
At the time of its management buyout in December 1997, IPC said it aimed for an IPO within five years. However, current market conditions are judged unfavourable and merchant bank CinVen, which funded the buyout, is now eager to cash-in its investment and seeks a trade sale.
News source: The Times (London)