Torstar increases share in English-language Metro newspaper operations to 90% with aggregate price of C$51.5M through share purchase, negotiation of new franchise agreement
October 14, 2011
– Torstar today announced that it has increased its interest in the English-language Metro newspaper operations ("Free Daily News Group") jointly owned in Canada with Metro International S.A. to 90%. The aggregate consideration was $51.5 million and included the purchase of shares from Metro International S.A. and the negotiation of a new franchise agreement. Metro International S.A. will continue to hold a 10% interest in Free Daily News Group.
Free Daily News Group publishes free daily newspapers under the Metro trade mark in Toronto, Vancouver, Ottawa, Calgary, Edmonton, Winnipeg and London, and pursuant to a joint venture with Transcontinental Media G.P. in Halifax.
"We have been very happy with the significant evolution of the Metro newspaper operation over the past decade and are pleased to increase our interest to 90% in this growing national franchise. For both readers and advertisers, Metro has proven to be an attractive medium in the communities it serves across Canada. We look forward to continuing to build on the success achieved to date working alongside Metro International who will continue to be our partner" said David Holland, President and Chief Executive Officer of Torstar Corporation.
ABOUT TORSTAR CORPORATION
Torstar Corporation is a broadly based media and book publishing company listed on the Toronto Stock Exchange (TS.B). Its businesses include the Star Media Group led by the Toronto Star, Canada's largest daily newspaper, and digital properties including thestar.com, toronto.com, Workopolis, Olive Media, and eyeReturn Marketing; Metroland Media Group, publishers of community and daily newspapers in Ontario; and Harlequin Enterprises, a leading global publisher of books for women.