Springer brings classified advertising business back into the Group
The German media group Axel Springer has regained full control of its highly profitable online classifieds business. The Berlin-based company is taking over the remaining 15 percent of the joint venture Digital Classifieds from its partner General Atlantic.
This was announced by Springer on Wednesday. In return, the US financial investor will receive 8.3 percent of Springer's shares, making it the second-largest shareholder in the group, which publishes the Bild and Welt newspapers. The car, job and real estate advertising business is Springer's biggest growth driver and profit generator. "It is the economic backbone and contributes around half of the company's operating profit," Group CEO Mathias Döpfner told investors.
In spring 2012, Springer founded a joint venture with General Atlantic to drive growth in the promising digital sector. The Americans acquired a 30 percent stake at the time. Following numerous acquisitions and positive business figures, Springer announced a year ago that it would buy out General Atlantic in two phases.
In Switzerland, Axel Springer is relying on a joint venture for the magazine business with the media company Ringier. The portfolio of Axel Springer Switzerland includes Der Beobachter, Tele, Bilanz and Handelszeitung as well as various online platforms. (SDA)
