News Corp announced today that to optimize its portfolio and simplify
the structure of the Company, it is actively evaluating strategic
options for its News America Marketing business (NAM).
The review of NAM, one of the most valued partners in the marketing
services industry for brands, retailers and technology innovators,
includes exploring a potential sale. This process is being undertaken in
order to allow greater focus on News Corp’s primary pillars, including
the creation and distribution of premium content and global digital real
estate services.
“We believe this strategic review will result in enhanced shareholder
value, as we seek to streamline our company, with the aim of greater
transparency and profitability,” said Robert Thomson, Chief Executive of
News Corp. “Candidly, the NAM business has been transformed from one
based on newspaper inserts to one of the leading in-store marketing
companies in the US, with a growing digital component and an expanding
array of tech partners.”
“With its extensive access to first-party shopper data, close
relationships with consumer goods companies and placements in thousands
of retail stores, NAM can track the shopper journey between customers
and some of the biggest brands and largest retailers,” said Mr. Thomson.
“NAM is a crucial player in the digital evolution of retail media and an
innovator in in-store marketing.”
NAM has a proprietary database of millions of shoppers and extensive
purchase data, which allows retailers and brand partners to target the
right people in the right place at the right time. The business has
comprehensive in store marketing media options in over 60,000 stores in
the US and Canada, and reaches households across the country with
circulation of more than 60 million through nearly 2,000 publications.
NAM also has digital solutions to turn shoppers into buyers through
mobile cash back apps, retailer load-to-card programs and print-at-home
couponing. In addition, the business has a digital media network,
powered by first-party shopper data, including programmatic display,
email, social and video to help brands and retailers connect with
consumers. NAM has a sales force of more than 300 people in 12 offices
across the US and Canada.
News Corp has retained Allen & Company LLC as its financial advisor to
assist the Company in its review of NAM; there is no assurance regarding
the timing of any action or transaction, nor that the strategic review
will result in a transaction or other strategic change.
Forward-Looking Statements
This release contains forward-looking statements based on current
expectations or beliefs, as well as assumptions about future events, and
these statements are subject to factors and uncertainties that could
cause actual results to differ materially from those described in the
forward-looking statements. The words “expect,” “estimate,”
“anticipate,” “predict,” “believe,” “potential” and similar expressions
and variations thereof are intended to identify forward-looking
statements. These statements appear in a number of places in this
release and include statements with respect to, among other things, the
strategic review and potential sale of the Company’s News America
Marketing business. Readers are cautioned that any forward-looking
statements are not guarantees of future performance and involve risks
and uncertainties. Many factors, such as the risks and uncertainties
related to the review of strategic alternatives for the News America
Marketing business, including not completing a transaction or pursuing
other strategic alternatives or not completely realizing the anticipated
benefits from any such transaction, could cause actual results to differ
materially from those described in these forward-looking statements. The
forward-looking statements in this release speak only as of this date
and the parties undertake no obligation (and expressly disclaim any
obligation) to publicly update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as required by law.
About News Corp
News Corp (Nasdaq: NWS, NWSA; ASX: NWS, NWSLV) is a global, diversified
media and information services company focused on creating and
distributing authoritative and engaging content. The company comprises
businesses across a range of media, including: news and information
services, subscription video services in Australia, book publishing, and
digital real estate services. Headquartered in New York, News Corp
operates primarily in the United States, Australia, and the United
Kingdom, and its content is distributed and consumed worldwide. More
information is available at: http://www.newscorp.com.
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