Industry News

Distinctly Montana Magazine

Distinctly Montana Magazine has been sold by founder Michael Blevins to Bill Muhlenfeld and Anthea George of Bozeman, Montana, according to John Cribb, Cribb, Greene & Associates, who represented the seller in the transaction.

Distinctly Montana Magazine is a high quality glossy product published quarterly and distributed throughout Montana and most of the nation. The magazine, founded in 2001, is a resource guide for all things Montana and includes local features, literary pieces, and high quality art and photography. Included in the sale is the magazine website at distinctlymontana.com.

According to Anthea George, "Distinctly Montana is a quality publication with a great concept and a focused mission. We look forward as new owners to bringing the best of Montana to residents and visitors alike."

Cribb, Greene & Associates is an eighty-seven year old publishing company merger and acquisition firm with offices in Bozeman, Montana and Charlottesville, Virginia.

Calm before the storm

March 25, 2010

Is the newspaper marketplace poised to rebound?

The newspaper and publication marketplace in 2008 and 2009 was slow with a reduced number of transactions; however, it is starting to feel like the calm before the storm out there. The reality is that some owners were contemplating the sale of their newspapers back in 2008 when the market crumbled. These owners, who were under no time pressure to sell, elected to wait out the double whammy of a downturn in the EBITDA multiples paid for newspapers and the reduced EBITDA due to the recession.

With some newspapers seeing improvement in the economy, the "pent-up demand" to sell is gaining strength. The lack of conventional financing is still the biggest impediment to newspaper deals; however, seller financed transactions are driving some current sales. Even larger transactions are experiencing seller financing, with Gannett Co., Inc. reportedly financing part of the sale of the Honolulu Advertiser to the Honolulu Star-Bulletin/Black Press Group.

There have also been indications of an increase in the purchase of debt of some Chapter 11 newspaper groups. This debt is still being sold at steep discounts, but it is apparent some investors believe the newspaper industry has hit bottom and may be on the rebound.

As more financing options become available and newspaper profits improve, the selling prices for publishing companies will rise. Some newspaper buyers are being proactive by contacting ideal strategic add-on properties now. These buyers, who understand that the community newspaper business is far from dead, are making purchases at 25% to 50% discounts on prices of just two years ago.

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