May 19, 2020
Salesforce CEO to purchase Time magazine from Meredith for US$190mn
Marc Benioff, CEO of Salesforce, and wife Lynne Benioff are set to acquire Time magazine for US$190mn
Time Inc was bought by Meredith Corporation in January 2018 for $2.8bn.
Meredith subsequently put Time’s Fortune, Money, and Sports Illustrated up for sale to focus on brands targeted at its core readership of American women.
Reuters reported that Meredith will use the proceeds of the sale as part of its aim to reduce debt by $1bn during the 2019 fiscal year.
The Benioffs are buying the company privately, but will have no part to play in the day-to-day running or journalistic aspects of the publication.
Marc Benioff said in an email message to CNN:
“The power of Time has always been in its unique storytelling of the people and issues that affect us all, and connect us all”.
“Lynne and I will take on no operational responsibility for Time, and look only to be the stewards of this historic and iconic brand”.
Time will reportedly have no business involvement with Salesforce, and CNN reported that the Benioffs are not purchasing Fortune, Money, or Sports Illustrated, which Meredith are still in the process of selling.
- The September issue of Business Chief North America is now live!
- SpaceX set to announce first passenger to the moon
- Marty Chavez steps down as CFO of Goldman Sachs
Meredith will continue to provide “services such as consumer marketing, subscriptions fulfillment, paper purchasing and printing” and “will also be able to include the Time brand in large corporate advertising buys”.
In a statement regarding the sale, Time’s editor-in-chief, Edward Felsenthal, said:
“We can’t imagine better stewards for TIME than Marc and Lynne Benioff”.
“The team is inspired by their commitment to high-quality journalism and by their confidence in the work we have done to transform and expand the brand in new directions”.