Dickey Publishing Buys Modern Luxury Media
August 27, 2010 at 4:50 PM (PT)
Rumors become reality as the DICKEY family's DICKEY PUBLISHING, INC. announces the purchase of city/lifestyle magazine publisher MODERN LUXURY MEDIA, LLC. Financial terms were not disclosed, although the rumored $20 million price would be substantially less than the $243 million paid for the company three years ago. MODERN LUXURY MEDIA was taken over by creditors last year after the previous owners defaulted on $120 million in debt.
The DICKEYS, owners of CUMULUS MEDIA, own DICKEY PUBLISHING, which presently publishes JEZEBEL MAGAZINE, TUXEDO ROAD magazine, and ATLANTA SPORTS AND FITNESS MAGAZINE; MODERN LUXURY publishes 26 titles, including upscale-targeted lifestyle magazines including ANGELENO and HOUSTON, as well as bridal magazines. The deal was backed by MACQUARIE CAPITAL (USA), INC., serving as sole advisor to the transaction as well as providing debt and equity funding. BERKERY, NOYES AND CO., LLC represented MODERN LUXURY in the deal.
DICKEY PUBLISHING Pres./Publisher MICHAEL W. DICKEY said, "MODERN LUXURY has an excellent position in the most significant media markets in the U.S. We look forward to working with its talented team. We are also pleased to be partnering with MACQUARIE, who has significant experience in the media sector. Their advice and support in this transaction will be of significant benefit to the growth of the business."
"There has been keen interest in MODERN LUXURY from several interested buyers," said MODERN LUXURY CEO BILL COBERT. "DICKEY PUBLISHING distinguished themselves in a number of respects, by placing the greatest value on MODERN LUXURY, our team, our brands, and each of our markets. We believe they will be a superb steward of the business going forward."
CUMULUS MEDIA Chairman/CEO LEW DICKEY said, "MODERN LUXURY has a stable of venerable publishing brands in the nation's most desirable media markets. It will benefit greatly from CUMULUS' technology platform, operating systems and local media sales experience. This is an excellent opportunity to gain significant scale in a business in which DICKEY PUBLISHING has been operating for over a decade."