Elephant wedding: Ringier and Axel Springer bundle their activities in Eastern Europe
Ringier and Axel Springer are merging their operations in five Eastern European countries into a new company, in which they will each hold a 50 percent stake. This will create one of Eastern Europe's leading media companies, headquartered in Zurich.
Axel Springer is contributing the business of its subsidiaries in Poland, the Czech Republic and Hungary to the joint venture, while Ringier is contributing its business in Serbia, Slovakia, the Czech Republic and Hungary. The two companies are thus significantly expanding their strong position with more than 100 print titles and over 70 online offerings in these growth markets. With its comprehensive portfolio, the joint company will become the clear market leader for tabloid newspapers and magazines in the entire region.
Soon fit for the stock market
"For both companies, this partnership is an excellent basis for significantly expanding the journalistic core business with five market-leading tabloid newspapers in attractive growth markets, and an optimal prerequisite for further expansion in the digital business of the future," says Mathias Döpfner, CEO of Axel Springer AG. And Christian Unger, CEO of Ringier AG, emphasizes: "Ringier AG as an independent company with a 177-year tradition, strong brands and a distinctive culture of values meets a partner at eye level who fits in with us to a high degree. Together, we are so strongly positioned in the individual markets that we will be able to go public with the new company and shape the future of the emerging media markets in Eastern Europe."
Soon fit for the stock market
"For both companies, this partnership is an excellent basis for significantly expanding the journalistic core business with five market-leading tabloid newspapers in attractive growth markets, and an optimal prerequisite for further expansion in the digital business of the future," says Mathias Döpfner, CEO of Axel Springer AG. And Christian Unger, CEO of Ringier AG, emphasizes: "Ringier AG as an independent company with a 177-year tradition, strong brands and a distinctive culture of values meets a partner at eye level who fits in with us to a high degree. Together, we are so strongly positioned in the individual markets that we will be able to go public with the new company and shape the future of the emerging media markets in Eastern Europe."
Market leader in tabloid newspapers and magazines
The Board of Directors, chaired by Ralph Büchi, President Axel Springer International, is made up of two representatives each from Ringier and Axel Springer. The joint company will be managed by Florian Fels (42), currently CEO Central Europe of Ringier AG.
Ringier and Axel Springer have continuously expanded their activities in the media markets of Eastern Europe in recent decades and have a large number of leading titles in their segments, particularly in the tabloid and magazine sectors. The activities of Axel Springer and Ringier in Eastern Europe are highly complementary. Both companies complement each other, both in terms of their content expertise and their strategic interests. Together, they are now seizing the growth opportunities associated with the digital transformation, which offer additional development prospects, particularly for the employees of Ringier and Axel Springer in Poland, the Czech Republic, Hungary, Slovakia and Serbia, under the leadership of the management team that will remain in charge.
Online marketing
When asked what the new operation meant for Zanox, a company in which Springer holds 52.5% and Publigroupe 47.5%, Döpfner said at the media conference:
"We believe in the model of performance-based online marketing and have had very positive experiences with it. Thanks to the follow-up investments in the UK with Digital Window and Buy-at, we have already achieved European market leadership with Zanox. This business is still very much underrepresented in Eastern European countries. When the time is right, we will certainly discuss with our co-shareholders whether such a business model could also be very attractive in Eastern Europe."
(afw/PCM)
The Board of Directors, chaired by Ralph Büchi, President Axel Springer International, is made up of two representatives each from Ringier and Axel Springer. The joint company will be managed by Florian Fels (42), currently CEO Central Europe of Ringier AG.
Ringier and Axel Springer have continuously expanded their activities in the media markets of Eastern Europe in recent decades and have a large number of leading titles in their segments, particularly in the tabloid and magazine sectors. The activities of Axel Springer and Ringier in Eastern Europe are highly complementary. Both companies complement each other, both in terms of their content expertise and their strategic interests. Together, they are now seizing the growth opportunities associated with the digital transformation, which offer additional development prospects, particularly for the employees of Ringier and Axel Springer in Poland, the Czech Republic, Hungary, Slovakia and Serbia, under the leadership of the management team that will remain in charge.
Online marketing
When asked what the new operation meant for Zanox, a company in which Springer holds 52.5% and Publigroupe 47.5%, Döpfner said at the media conference:
"We believe in the model of performance-based online marketing and have had very positive experiences with it. Thanks to the follow-up investments in the UK with Digital Window and Buy-at, we have already achieved European market leadership with Zanox. This business is still very much underrepresented in Eastern European countries. When the time is right, we will certainly discuss with our co-shareholders whether such a business model could also be very attractive in Eastern Europe."
(afw/PCM)
