TMG strengthens print activities with acquisition of Metro Holland
- Acquisition fits strategy to build on leadership in print media as one of the key pillars
- Metro Holland B.V. part of TMG per September 2012.
- Immediate opportunity for revenue increase and cost savings.
- Acquisition directly contributes to the results of TMG.
- With Metro and Sp!ts TMG’s free newspaper portfolio has readership of 2.3 million.
- TMG will enhance profiles of both Metro and Sp!ts to enrich offer to market.
AMSTERDAM, 29 August 2012 - TMG (Telegraaf Media Groep N.V.) is strengthening its print media portfolio through the acquisition of the Dutch edition of the free daily newspaper Metro as of September 2012. This has today been announced by TMG and Metro International SA, the parent company of Metro Holland B.V.
Together with its incumbent title Sp!ts TMG will now reach a free newspaper readership of 2.3 million people in the Netherlands. The acquisition is a direct result of TMG’s strategy to strengthen its market leadership in the print media market, one of its key pillars next to online media and radio. With the purchase of Metro, TMG is seizing the opportunities of today’s consolidating market for print media.
The acquisition will directly contribute to the results of TMG, through an increase of revenues and the possibility to save costs. The company will consolidate its new acquisition as soon as possible in its existing organization in order to create a more efficient exploitation of both Metro and its incumbent free newspaper Sp!ts. Synergies will be found amongst others by cooperating in advertising sales and by integrating the printing and distribution of Metro. The integration will also have consequences for the number of jobs.
Herman van Campenhout, CEO of TMG: “Free daily newspapers have an established position in the Dutch media market and clearly fulfil a consumer need. With Metro and Sp!ts we are offering our readers and advertisers two great titles that each have their own market position. Strengthening our print media division is one of the major pillars of our strategy and I’m satisfied to see that we are able to grasp this attractive opportunity as a first step in the current consolidating print market. Metro is a newspaper with a strong market position and a well defined readership. The synergies we can create adds to the attractiveness of this acquisition. The transaction allows us to improve the performance of our print media division right from the onset and still this year.”
Per Mikael Jensen, President and CEO of Metro International: “Metro Holland has a strong position in the Dutch newspaper market and has been one of our most successful operations over the years. We are happy that this deal will secure the future of the title and that the Metro brand will be kept in the market. The deal also allows Metro to maintain its existing pan-European distribution platform which is important to our international advertisers. TMG will benefit from synergies with their existing operations and they have better opportunities to lead the consolidation of the Dutch print market. We are confident that they are the right partner to develop Metro Holland further.”
Metro and Sp!ts both were introduced 13 years ago, on 21 June 1999. The total net readership of both newspapers in the Netherlands is about 2.3 million. Free newspapers in The Netherlands especially reach young audiences, that are attractive for advertisers. For a important part Metro and Sp!ts have their own profile and readership. TMG will further differentiate the two titles in the coming months in order to create even more variation in its offer to readers and also optimize the distribution of Metro and Sp!ts in order to ensure that both papers will optimally reach their targeted readers. This provides also benefits for advertisers as more differentiation between the two papers will deepen the quality of the combined reach. It also allows for more profiled targeting of readers by advertisers.
Metro Holland will become a part of TMG as of September 2012.