The Economist Group is on the prowl for acquisitions, CEO Helen
Alexander
told
the Financial Times. Perhaps spurring its acquisitiveness are its
earnings. The publisher, which not only includes its namesake magazine, but
also CFO and Roll Call, is reporting a 27% jump in operating profit to $71
million for the year to March 31, on 12% growth in turnover to about $490
million. It seems some of the succes is owed to a 39% jump in electronic
advertising revenues, which might mean the publisher covets online properties
over print media. After all, Alexander specifically said newspapers are not on
the shopping list, but she did not discount buying magazines. The Economist
Group is specifically seeking to acquire “intelligent media brands” targeted
at “high-end” audiences, she said. But don't expect a white-knight bid for Dow
Jones & Co. as the group only had about $60 million of cash at the end of
March, and capacity to raise "conservative" debt financing. Based on the
company's failed bid for Jane’s Information Group, which
was
sold this week for $183.5 million to IHS Inc., any purchase would be in
the same range. —Matthew Wurtzel
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