(Finance) – Mondadori Media subsidiary del Mondadori group exercised the put option, already communicated on 20 October, and consequently signed the sales contract with Reworld Media for the print and digital publishing activities of the publications Grazia and Icon as well as the related international network.
The consideration for the transaction, as already communicated, is equal to 8.5 million euros, of which 2 million euros in the form of an earn-out conditional on the achievement of certain economic results in 2023 by the assets sold. This price – which will be paid in cash at the closing – was defined on the basis of an Enterprise Value of 11 million euros (including earn-out), net of the
difference between the average net working capital of the last 12 months and the net working capital at the closing date.
In the 2021 financial year, the activities mentioned recorded revenues of around 18 million euros.
The completion of the transaction – subject to the results of the verification procedure, pursuant to Legislative Decree 21/2012 by the Offices of the Presidency of the Council of Ministers – will involve the transfer by Mondadori Media of the business branch relating to the activities of transfer to a newly established company and the subsequent transfer to Reworld Media of 100% of the share capital of the transferee company.