View all newsletters
Sign up for our free email newsletters

Fighting for quality news media in the digital age.

  1. Media Business
February 18, 2009

Mecom sells Norwegian papers to reduce debt levels

By Jon Slattery

David Montgomery’s Mecom Group has entered into an agreement to sell its newspapers and related businesses in North Western Norway to Polaris Media.

Mecom, which recently sold its German operation, said proceeds from the £55.9m sale would strengthen the company – with its remaining Dutch, Danish, Norwegian and Polish businesses – in the current market conditions.

The proceeds from the disposal will be used to reduce group borrowings by approximately £54.4m, Mecom said.

The transaction includes the sale of two daily newspapers on the North Western coast of Norway, Sunnmørsposten and Romsdas Budstikke.

The titles claim a daily circulation of 32,667 copies and 18,167 copies respectively. Both newspapers have been operating in the region for more than 120 years.

In addition to these titles, Sunnmørsposten and Romsdals Budstikke produce seven wholly owned local newspapers and three partly owned titles.

Mecom chief executive David Montgomery said: ‘We are pleased with the agreement we have signed with Polaris in relation to our operations in Northwestern Norway and believe, as with the sale of the Mecom’s German operations, that we have delivered value to shareholders by strengthening Mecom’s balance sheet in the current market.

Content from our partners
MHP Group's 30 To Watch awards for young journalists open for entries
How PA Media is helping newspapers make the digital transition
Publishing on the open web is broken, how generative AI could help fix it

“As previously stated, the board is confident that the continued strategy of reducing debt and focusing on our core assets greatly improves the position and prospects of the group.”

The disposal is expected to be completed in the first half of this year.

Email pged@pressgazette.co.uk to point out mistakes, provide story tips or send in a letter for publication on our "Letters Page" blog

Select and enter your email address Weekly insight into the big strategic issues affecting the future of the news industry. Essential reading for media leaders every Thursday. Your morning brew of news about the world of news from Press Gazette and elsewhere in the media. Sent at around 10am UK time. Our weekly does of strategic insight about the future of news media aimed at US readers. A fortnightly update from the front-line of news and advertising. Aimed at marketers and those involved in the advertising industry.
  • Business owner/co-owner
  • CEO
  • COO
  • CFO
  • CTO
  • Chairperson
  • Non-Exec Director
  • Other C-Suite
  • Managing Director
  • President/Partner
  • Senior Executive/SVP or Corporate VP or equivalent
  • Director or equivalent
  • Group or Senior Manager
  • Head of Department/Function
  • Manager
  • Non-manager
  • Retired
  • Other
Visit our privacy Policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications.
Thank you

Thanks for subscribing.

Websites in our network