Newspapers make sense for private equity
Added: (Sun Jul 22 2007)
Pressbox (Press Release) -
A wave of recent newspaper company acquisitions has private equity groups seeking insight into the ever-changing industry, says Mark Phillips, president of LP NewMedia LLC.
The contentious pending purchase of the Wall Street Journal by News Corp. is just one example of how private equity is seeking direction on where to place its bets in the future.
LP NewMedia LLC provides advisory services worldwide to private equity groups regarding media in general, and specifically the Internet domain name and newspaper industries.
"We've helped multi-billion dollar private equity groups decide whether or not newspapers make sense for their portfolios," Phillips says. "While newspaper readership and circulation are down overall in the U.S., there's still plenty of money to be made in the business. We help investors decide if newspapers are right for them."
In some regions of the world, such as eastern Europe for example, newspaper circulation is exploding, Phillips says, adding those areas can be a boon for media investors.