The Koch Brothers Reportedly Backing Meredith Corp. in Time Inc. Purchase

David Koch holding a speech

The Koch Company reportedly injected over $500 million into Meredith Corp.’s offer

Billionaire conservatives, Charles and David Koch, are backing publisher and broadcaster, Meredith Corp.’s, newest bid to purchase media company Time Inc.

The industrialist brothers have reportedly agreed to support Meredith Corp’s renewed offer with an equity investment of over half a billion dollars. The source chose to remain anonymous for the time being.

Meredith Corp. tried to acquire Time Inc. three times, the closest to an agreement being in 2013. That deal supposedly fell when Time Inc. would not include several of its magazines in the purchase. Another attempt occurred earlier this year but Time Inc. withdrew after Meredith Corp. failed to secure financing.

According to Times, there have been on-going negotiations over these past several days. An announcement is expected to be released later this month.

Koch Industries is the second-largest private company in the U.S. Their businesses focuses primarily on energy but they also have stakes in finance, minerals, and fertilizers. According to Forbes, Koch Industries sales are over $100 billion annually. Charles and David Koch are currently tied on the 12th place as the richest people in the world. Their net worth is estimated to be about $47 billion.

Time Inc. was once part of Time Warner Inc. but they separated after previous Meredith Corp. purchases failed. If a merger were to happen, then the combined strength of Meredith Corp. and Time Inc. would bring great profit. Time Inc. has been struggling to adapt to the emerging digital media market, however, giants like Facebook and Google are collecting the laurels. Time Inc. has several popular publications such as Fortune, Sports Illustrated, and People magazine.

Meredith Corp is best known as the publisher of Family Circle and Better Homes and Gardens, however. It also has stakes in the television and radio business. The company owns fifteen television stations and four radio stations.

At the moment, neither Meredith Corp. nor Time Inc. commented on the matter.

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