Why Are Meredith Shares Trading Higher Premarket?

  • IAC/InterActiveCorp IAC is in advanced talks to acquire magazine publisher Meredith Corp MDP in a deal valued at over $2.5 billion, the Wall Street Journal reports.
  • The deal would vastly expand IAC’s collection of online publications and bulk up IAC’s portfolio of websites which lost sheen after the spin-offs of Match Group Inc MTCH and Vimeo Inc VMEO.
  • IAC, which billionaire Barry Diller helms, has a leg up on private equity firm Najafi in the bidding and could strike a deal with Meredith shortly.
  • Earlier this year, Meredith sold its broadcast portfolio of 17 television stations to Gray Television in a $2.7 billion deal to reduce its net debt and focus on allocating capital to “fast-growing digital and consumer opportunities,” Forbes reports.
  • The sale of the rest of the company would be an abrupt exit for Meredith, which four years ago bought Time Inc for $1.85 billion.
  • Price Action: MDP shares traded higher by 17.6% at $52.79 in the premarket session on the last check Friday.
Market News and Data brought to you by Benzinga APIs
Posted In: Long IdeasM&ANewsMoversTechMediaTrading IdeasBriefsWall Street Journalwhy it's moving
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!