Edgar Bronfman Jr.’s Group Is Said to Drop Bid for Time Inc.

http://www.nytimes.com/2017/03/08/business/media/time-inc-bronfman-bid-kreiz.html

Version 0 of 1.

An investor group led by Edgar Bronfman Jr. and the media executive Ynon Kreiz has decided not to continue its pursuit of Time Inc., a person briefed on the sale process said Wednesday.

The group had been among the parties that had expressed interest in buying Time Inc., the publisher of Time, Sports Illustrated and People magazines. Time Inc. had requested formal bids from potential suitors by this week. Meredith Corporation, the publisher of Better Homes & Gardens and Family Circle, had also indicated its interest in buying Time Inc.

Time Inc. declined to comment, and a representative for Mr. Bronfman declined to comment. A spokesman for Meredith did not immediately reply to a request for comment.

Time Inc. rejected a preliminary takeover bid of at least $18 a share from Mr. Bronfman and Mr. Kreiz last year. That offer would have valued Time Inc. at about $1.8 billion. The magazine publisher rejected a similar offer from Mr. Bronfman last spring.

This time, Mr. Bronfman’s investor group withdrew from the sale process after reviewing Time Inc.’s business, according to the person briefed on the sale process, who spoke on the condition of anonymity because the discussions were private.

As of last week, Time Inc.’s board had not decided whether to pursue a sale, and it was also considering bringing on an investor.

Time Inc. made its request for formal bids amid stiff challenges to its print business. The company’s revenue has fallen every year since 2011, and it is now trying to transform itself from a magazine publisher into a multimedia company.