Bertelsmann is looking for the right partner. Someone in education, CFO Thomas Rabe has said. Being German, it's no surprise that he's taking a rather clinical look at the merger market, no gushing or heart-wrenching poetry. That's exactly the sort of cool-headed partner that would suit Irishman Barry O'Callaghan.
When HM Riverdeep acquired Harcourt Education, Harcourt's parent Reed Elsevier bought up part of the deal, but they've made no bones about their desire to be rid of the investment. Over on the other side of Europe, in Germany, Bertelsmann would like nothing more than to get into the electronic educational materials publishing game. Sure it's a marriage made in heaven, if only the two firms could meet and get to know one another better.
Mr. Rabe has displayed his financial largesse, stating that his company will have anywhere from 1 - 1.5 billion euros to invest in a long-term partnership, and it's no secret that Bertelsmann wanted to buy up Canada's Thomson Corp. last year. And they're certainly no novice in the publishing trade, what with Random House in the Bertelsmann stable. The German corporation would like to expand the publishing end by getting into educational materials, and there's an educational materials firm out there that would suit perfectly.
HM Riverdeep, or Education Materials or whatever it calls itself these days, is poised to be a major player in the American market, which is where the money is. Bertelsmann could pick up Reed Elsevier's portion of the newly expanded minnow of a publisher and become a player in both Europe and the States.
Sounds ideal, two individual coming together, each with something to give the other, making two into one. You have to wonder if they've maybe met for drinks, or perhaps started dating.
4 comments:
We at Harcourt can only hope that such a marriage can be had. Reed Elsevier has been a thorn in the side of Harcourt since they purchased us. Imagine, a company that understands the needs to today's educational market, run by people who also understand. We're all keeping our fingers crossed...
What a difference it would make, to have the corner office suits interested in the business that they bought, rather than looking on their purchase as an investment meant to turn a profit.
The HM Riverdeep purchase of Harcourt is not a done deal, given the turmoil in the credit markets, and Bertelsmann must be watching that development closely. Sprechen zie deutsche?
We'll wait, patiently... waiting. But trust me, it's driving us nuts. :)
If you were really nuts, you'd be writing a novel and trying to get it published. At least you've a drop of sense left, in spite of the madness.
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