Magazine company Primedia’s enthusiast media unit has shortlisted bidders, and the $1 billion price tag that it is asking for might be a stretch, according to this NYP story. The top bidders for the group, which includes Motor Trend, Automobile, Powder, Surfing, Skateboarding, Practical Horseman and Automotive.com, appear to be Veronis Suhler Stevenson and Curtco Media. Also in the hunt are Elevation Partners and Quadrangle, the story says.
The unti is highly profitable, with cash flow of around $103 million and a good multiple of earnings on revenue of just over $500 million a year, but the print books are declining, even though the smaller online unit is increasing fast.
Meawhile, Primedia has also announced that Robert Metz would become CEO and the company may move its headquarters to Atlanta from New York if a sale is completed.