Switch to Desktop Site
 
 

Penguin and Random House: Will they combine to form the world's biggest publisher?

(Read article summary)
Image

(Read caption) “Consolidation is the order of the day," says one media analyst of the proposed merged of Penguin and Random House. “They [publishers] have got to gang together to have enough clout."

About these ads

If the owners of publishing houses Penguin and Random House move ahead with an unprecedented merger deal to combine their businesses, the merger would result in the world’s biggest publisher.

Pearson, which owns Penguin, confirmed Thursday through an online statement that it has entered into merger discussions with Bertelsmann, the German company that owns Random House.

“Pearson confirms that it is discussing with Bertelsmann a possible combination of Penguin and Random House,” the statement reads. However, Pearson added, “The two companies have not reached agreement and there is no certainty that the discussions will lead to a transaction.”

Though not a complete surprise to industry watchers, the merger talks would result in big changes in the publishing world. If the proposed merger goes through, the two companies “would account for north of 25% of global English-language consumer book sales,” according to the Wall Street Journal.

Next

Page 1 of 4

Share