Reed Elsevier pulls publishing unit from block
Reed Elsevier announced today that it has withdrawn Reed Business Information from the market in the “medium term,” citing turmoil in the financial markets and weak credit markets as factors in the decision.
RBI, the magazine publishing division that includes Variety and Daily Variety, Broadcasting and Cable, Multichannel News, Publishers Weekly and New Scientist, will remain under the ownership of Reed Elsevier and will continue to be overseen by RBI CEO Keith Jones.
In an email sent to employees, Reed Elsevier CEO Crispin Davis said the current economy “has made it very difficult to structure a transaction which delivers sufficient value to our shareholders. We believe the business has significantly more value than can be realized in a transaction at this time.”
Davis added: “While it still remains our strategic intent to divest RBI in the medium term, there is significant opportunity to strengthen and enhance value in the business, notwithstanding the current challenging trading environment.”