The McClatchy Company, Lee Enterprises are other small publishing companies which are finding themselves ill-equipped to address the onslaught of digital media and the changing news consumption pattern of its readers.
As one would guess, this analysis does not put Meredith plans in a very positive light. What’s worrying is that it is going to be a leveraged transaction for Meredith as the publisher does not have the financial muscle to pull off the deal on its own.
This would just work to amplify the positive or negative effects of the buyout. However, the downside of this acquisition not going as planned appears to be much bigger than the possible gains for Meredith stockholders.
The article Time Warner-Meredith Deal: Another Brick in the Wall originally appeared on Fool.com and is written by Jacob Wolinsky.
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