Time Inc. is about to be purchased by media giant Meredith Corp. Reuters reports that the deal will be worth $1.84 billion. Helping to finance the purchase are billionaire brothers Charles and David Koch who are also known for their involvement in conservative politics and the Republican Party.
Meredith which will take over Time magazines Sports Illustated, Time, People and Fortune said the Kochs will have no involvement in its operation and won’t have a seat on its board.
Meredith has attempted to purchase Time before in 2013, but that was unsuccessful. The company owns lifestyle magazines like Better Homes & Gardens and Family Circle. Bringing Time’s brands to Meredith will bolster the company’s roster of publications.
Time was sold by Time Warner Inc. in 2014 and has attempted to go it alone. And while Sports Illustrated has attempted to redefine itself by branching into its own over the top subscription streaming service and producing various TV specials, it hasn’t been able to break out.
The other Time brands have also attempted to delve into video and digital, but like SI, haven’t been caught on. And its revenue has dropped consistently over the last year and a half.
With the purchase of Time, Meredith hopes to bring younger readers to its portfolio of magazines.
How this will affect Sports Illustrated down the road is anyone’s guess, but for now, it’ll work together with Meredith as a new parent. The deal is expected to close within the first quarter of 2018.