Fairfax to take full control of Anthony Catalano's Metro Media Publishing Holdings
Media & Marketing
Fairfax Media: Expected to mount a full takeover of Metro Media Publishing Holdings. Photo: Michel O'Sullivan
Fairfax Media is expected to mount a full takeover of Antony Catalano's Metro Media Publishing Holdings before Christmas, a source close to the deal says.
Fairfax owner ofThe Age, The Sydney Morning Herald and The Australian Financial Review already owns half of the company that publishes weekly real estate and lifestyle magazines as well as a range of websites, includingreviewproperty.com.au.
It is understood the price-tag for the remaining 50 per cent stake, which Mr Catalano own with a handful of real estate agents, could fetch up to $75 million.
This would value the entire holdings company at $150 million, or 8.5 times earnings. MMP Holdings' earnings from its 70 per cent ownership of its subsidiary companies were about $17.5 million in 2014.
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Fairfax paid $35 million for its stake in 2011 when MMP's earnings were about $4 million.
That deal also included merging Fairfax Community Network's newspapers, which included 32 titles, with MMP.
A source close to the deal said that Fairfax was genuinely interested in buying out Mr Catalano and the group of real estate agents and was expected to submit a formal offer before Christmas.
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Fairfax to take full control of Anthony Catalano's Metro Media Publishing Holdings