Media firm backed by Koch brothers buys Time magazine

Getty Images

Getty Images

Meredith approached Time again earlier this year, but those discussions also stalled when Meredith reportedly failed to secure enough bank financing for the acquisition.

If the deal goes through, it would finally mark success for Meredith in its third run at acquiring Time. Wall Street responded enthusiastically to Meredith's move, pushing the stock up as much as 16% Monday, before settling down in midday trading to about 10% over the media stock's previous closing price.

Despite the deal being backed by Koch Equity Development, the Koch family won't a have a board seat or otherwise influence the company's operation - meaning they won't have any managerial or editorial input. It is expected to close during the first quarter of 2018.

Time, which also publishes Fortune and Sports Illustrated, began looking for a buyer late previous year before giving up several months later, while welcoming options. Time is 12th, with 3.4 million.

In May of this year, Time Inc announced plans to sell some magazines or other properties as it tried to push ahead with a digital strategy.

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"We are creating a premier media company serving almost 200 million American consumers across industry-leading digital, television, print, video, mobile and social platforms positioned for growth", Meredith CEO Stephen Lacy in a statement.

"I am proud of our accomplishments", Battista said in a statement of the company, which was founded 95 years ago this week in NY.

"This is a transformative transaction for Meredith Corporation, and follows a fiscal 2017 in which we posted the highest revenues, profit and earnings per share in our 115-year history", said Meredith President and Chief Operating Officer Tom Harty.

The transaction will create a company with combined revenues of $4.8 billion for 2016, including $2.7 billion of total advertising revenues with almost $700 million of digital advertising revenues.

Adding Time's debt would raise the total value of the deal to about $2.8 billion.

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