American Media Inc. is adding InTouch, Life & Style, and Closer to its stable of celebrity tabloids. The media company said Friday that it is buying InTouch, Life & Style and Closer from the German publishing company Bauer which, along with AMI’s existing portfolio of Us Weekly, OK!, National Enquirer, Radar Online and Star, gives it a boost at the supermarket checkout line.
“Today’s announcement underscores AMI investor confidence in our business strategy as we continue to build and grow our Entertainment Group. Despite newsstand sales declining 20 percent annually, both Bauer and AMI have continued to invest in the marketplace and we believe there is still a terrific opportunity to grow newsstand revenue,” AMI chairman and chief executive officer David J. Pecker said in a statement. “I look forward to welcoming these trusted brands and talented staffs to AMI.”
To finance the deal, which includes nine titles that make up the Bauer Teen Group, AMI secured bridge funding from existing investors, the company said. The closing is expected at the beginning of July and, following that, the company said that it “intends to announce and launch a refinancing of its existing debt, as well as the bridge financing.” The acquisition price was not disclosed.
Earlier this year, The New Yorker’s Ronan Farrow published an investigation alleging that AMI’s practice of buying and burying stories, known as “catch and kill,” helped Donald Trump during his presidential campaign.