By Mark Sweney: Reader’s Digest UK has been bought by Better Capital, the private equity company backed by Jon Moulton, the Financial Times reported today.
The UK edition of the magazine, which has been publishing for 72 years, was put into administration by its US parent company Reader’s Digest Association in February, accusing financial regulators in this country of blocking a plan to fix its pension deficit.
Moore Stephens, which is handling the administration, initially received nearly 100 expressions of interest from businesses, but this was whittled down to nine firm offers last month.
Philip Sykes, head of advisory services at Moore Stephens, and a spokeswoman for Better Capital both declined to comment on whether the private equity firm has bought the magazine. It is thought that an official announcement is expected to be made later today.
According to the FT, Better Capital’s deal to buy the Reader’s Digest involved “difficult negotiations” over the rights for the brand, which was still owned by the US parent company.
This article originally appeared in Â© Guardian News & Media Ltd..