Rothschild Family to Divest 26.7% Stake in The Economist
Lynn Forester de Rothschild, representing the Rothschild family, is selling their entire 26.7% stake in The Economist Group. The sale could value the group at approximately £800 million ($1.07 billion). The family's stake includes about 20% of voting shares and could be worth up to £213.60 million. Rothschild advisers have begun discussions with potential buyers in the US and UK, including family offices and strategic investors. Lazard is leading the sale process, expected to complete within the year. The Agnelli family remains a major shareholder with a 43.4% stake. The Economist Group recently reported revenue of £368.50 million, a 2% growth, with a subscriber base of about 1.25 million across 14 countries.
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Lynn Forester de Rothschild, representing the Rothschild family, is set to sell their entire 26.7% stake in The Economist Group, marking a significant shift in the ownership structure of the renowned publication. This move could potentially value the entire Economist Group at approximately £800 million ($1.07 billion).
Stake Details and Valuation
The Rothschild family's stake in The Economist includes:
| Stake Type | Percentage |
|---|---|
| Total Stake | 26.7% |
| Voting Shares | ~20% |
Based on the estimated valuation, the Rothschild family's stake could be worth up to £213.60 million.
Sale Process
- Rothschild advisers have initiated discussions with potential buyers in the United States and United Kingdom.
- Potential buyers include family offices and strategic investors.
- Lazard is leading the sale process.
- The sellers anticipate completing the transaction within the year.
Current Ownership and Performance
Italy's Agnelli family, through their holding company Exor, remains a major shareholder with a 43.4% stake in The Economist Group.
Recent financial highlights for The Economist Group include:
| Metric | Value |
|---|---|
| Revenue | £368.50 million |
| Revenue Growth | 2% |
| Subscriber Base | ~1.25 million |
The Economist currently operates in 14 countries, showcasing its global reach and influence.
This potential change in ownership comes at a time when The Economist continues to demonstrate growth, both in terms of revenue and its subscriber base. The sale of such a significant stake could potentially impact the strategic direction of the publication, making it a development of interest for media industry watchers and The Economist's readership alike.
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