LUXEMBURG - May 11, 2009, Metro International S.A. ("Metro
International"), the international newspaper group, and Seabay Media
Holdings LLC ("Seabay Media"), a company formed and controlled by
Pelle Törnberg, the former CEO of Metro International, today
announced that they have signed a binding Heads of Terms whereby
Seabay Media will acquire Metro International's operations in the
United States ("Metro USA"). Financial terms were not disclosed. The
transaction is expected to be completed by June 1st 2009.
Metro USA publishes the free daily newspaper Metro in New York and
Philadelphia. Metro is also published in Boston through a partnership
with the Boston Globe. The three newspapers have a combined
circulation of 590.000 daily copies and approximately 1.2 Million
readers in the US, which is the biggest advertising market in the
World.
Under the terms of the agreement, Seabay Media will continue to
publish Metro in all three markets under a service and license
agreement with Metro International. The newspapers will also remain
in Metro International's global advertising packages.
Pelle Törnberg, founder and CEO of Seabay Media commented: "We are
excited and look forward to continuing the business after completion
and to further develop Metro in the United States. In the current
economic situation advertisers are looking to brands like Metro that
represents a strong offering through better value and reach. At the
same time we recognize the challenges ahead but we will give Metro
our full attention and we look forward to starting the hard, daily
work with the staff of the newspapers necessary to ensure Metro's
success."
Per Mikael Jensen, President and CEO of Metro International
commented: "Metro USA will continue as a licensed operation to Metro
International under strong leadership from one of the experts in the
business. After a rough 2007, we have seen many improvements in Metro
USA and losses have decreased significantly. I'm confident that Metro
USA will reach profitability and steady growth."
The book effect of the proposed transaction is estimated to be around
-2 Million USD. Closing is subject to completion of definitive
agreements and customary pre-closing conditions.
***
For further information, please visit www.metro.lu, or contact:
Pelle
Törnberg
CEO & Founder, Seabay Media Holdings
LLC
Tel: Pascal Keck, +46 704 85 45 93
Per Mikael Jensen
President & CEO, Metro International
Tel: Andreas Thors, +44 7595 106 281
Email: pmj@metro.lu
ABOUT METRO INTERNATIONAL
Metro is the largest and fastest growing international newspaper in
the world. 69 Metro editions are published in 93 major cities in 21
countries in 19 languages across Europe, North & South America and
Asia. Metro has a unique global reach - attracting a young, active,
well-educated, metropolitan audience of over 18.5 million daily
readers and more than 37 million weekly readers. Metro has an equal
number of male and female readers and 70% are under the age of 45.
Metro's advertising sales have grown at a compound annual rate of 44%
since the launch of the first edition in 1995.
Metro International S.A. 'A' and 'B' shares are listed on the
Stockholmsbörsen 'O-List' under the symbols MTROA and MTROB.
This announcement was originally distributed by Hugin. The issuer is
solely responsible for the content of this announcement.
http://hugin.info/132142/R/1313349/304791.pdf
Copyright © Hugin AS 2009. All rights reserved.
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