Publishing for merger agreement Espresso-Itedi, Exor will have 5%, Fca out by RCS – Reuters Italy

MILAN (Reuters) – The publishing group L ‘ espresso and Itedi, controlled by Fiat Chrysler, have signed a memorandum of understanding aimed at the creation of a leading Italian publishing group through the merger of Itedi, Publisher of La Stampa, with espresso.

Fca will be released also by RCS MediaGroup turning his share of 16.7% to its shareholders. Fiat Agnelli family came in via Solferino in the early eighties after the rehabilitation of the publishing house as a result of the P2 scandal. The industry crisis is pushing toward the concentration of publishers and, indeed, the Agnelli will be shareholders of a larger group, though with a smaller share.

The CEO of CIR (parent L’Espresso) Monica Mondardini stresses that “with this operation, the group would bring forward the necessary process of aggregation of the Italian publishing industry.”

the merger will be based on an exchange ratio to be determined in the definitive agreements, subject to due diligence, and other conditions.

Fca will own approximately 16% of the share capital of the new group, while Ital Press holding (Perrone family, another Itedi partner) will have 5%. In the merger, Fca will distribute its entire holding in the new group to the holders of its ordinary shares, as well as distribute to their members also its entire stake in RCS concentrated in the automobile business.

in turn Exor is deprecating the participation in the company that publishes Corriere della Sera, which will receive from Fca, by first quarter 2017. Same date for the conclusion scheduled for the entire reorganization.

Cir will remain a shareholder of the new publishing group with a stake of about 43%, Exor will have 5%. The merged company will be listed on the Italian Stock Exchange with a free float of about 36%. Both Cir both Exor define an agreement to merge their two investments following the completion of the merger.

In reference to the RCS, Fca says that “this operation comes to fulfilling the role, first by Fiat and then by Fca, a sense of responsibility in the course of over four decades, which has saved the publishing group on three different occasions, ensuring the financial resources necessary to ensure their independence and then to preserve its authority. ”

The operation – as stated in various press after rumors printing, confirmed to Reuters by [nL8N16A1PD] sources – will combine the strength of authoritative historical publications such as La Repubblica, La Stampa, Il Secolo XIX and numerous local newspapers of the Espresso group. More …