Further to our January announcement, Pearson PLC announces an agreement to sell a 22% stake in the Penguin Random House Venture to our partner Bertelsmann SE & Co KGaA and recapitalise the business. The transaction is in line with our strategy and allows us to generate net proceeds of approximately $1 billion, strengthen our balance sheet, return £300m of surplus capital to shareholders via a share buyback and maintain a significant income stream from an ongoing 25% stake in the world’s leading consumer publisher. This transaction values the Penguin Random House Venture at an enterprise value of $3.55 billion. The formation of PRH in 2013 created the first truly global consumer book publishing company, with a significant market share lead over its nearest competitors. Over the last four years PRH has enjoyed significant creative and commercial success and delivered more than $150m in annualised integration benefits, increasing profit and margins and creating significant value for both partners. Click Read More below for additional detail.
Office Depot, Inc. (NASDAQ: ODP) today announced that it has closed on the sale of its business in South Korea to Excelsior Capital Asia. Office Depot had previously disclosed its intention to sell substantially all of its international businesses under a process that began in 2016.
“This transaction follows on the recently announced agreement to sell our businesses located in Australia and New Zealand,” said Gerry Smith, chief executive officer for Office Depot. “We are now one step closer to achieving our goal of divesting substantially all of our international businesses in order to focus on the growth opportunities available in the North American market.”