DGAP-Adhoc: Axel Springer AG will sell its regional newspapers as well as its TV program guides and women's magazines to Funke Mediengruppe and establish joint ventures for distribution and advertising marketing




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25.07.13

DGAP-Adhoc: Axel Springer AG will sell its regional newspapers as well as its TV program guides and women's magazines to Funke Mediengruppe and establish joint ventures for distribution and advertising marketing

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Axel Springer AG / Key word(s): Disposal/Strategic Company Decision

25.07.2013 09:35

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a company of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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Ad-hoc announcement pursuant to § 15 WpHG (German Securities Trading Act)

Axel Springer AG will sell its regional newspapers as well as its TV
program guides and women's magazines to Funke Mediengruppe and establish
joint ventures for distribution and advertising marketing

Axel Springer AG has agreed with Funke Mediengruppe GmbH & Co. KGaA to sell
its regional newspaper groups Berliner Morgenpost and Hamburger Abendblatt
as well as its TV program guides and women's magazines to Funke
Mediengruppe GmbH & Co. KGaA. In this regard, Axel Springer AG and Funke
Mediengruppe GmbH & Co. KGaA have further agreed to establish joint
ventures for the distribution and marketing of print and digital media
offerings.

Axel Springer AG and Funke Mediengruppe GmbH & Co. KGaA have concluded a
legally binding preliminary agreement in this regard today. As soon as
Funke Mediengruppe GmbH & Co. KGaA will have agreed the necessary
financing, Axel Springer AG and Funke Mediengruppe GmbH & Co. KGaA will
enter into final contracts in autumn 2013 to implement the transaction. The
transaction is subject to approval by the competent authorities under
merger control and antitrust law, which is not expected to be obtained
before the end of 2013.

The regional newspapers and magazines will be sold with economic effect as
of 1 January 2014. The purchase price is EUR 920 million in total on a cash
and debt free basis. Of this amount, EUR 660 million will become due for
payment to Axel Springer AG at the closing of the transaction, but at the
latest on 30 June 2014. Regarding the remaining purchase price, Axel
Springer AG will grant Funke Mediengruppe GmbH & Co. KGaA a vendor loan
with a term of several years.

In the fiscal year 2012, the regional newspaper groups as well as the TV
program guides and women's magazines contributed to the EBITDA of the Axel
Springer Group in the amount of EUR 94.8 million and to its revenues in the
amount of EUR 512.4 million.

By establishing joint ventures, Axel Springer AG and Funke Mediengruppe
GmbH & Co. KGaA will group their existing operations and their resources
for the marketing and distribution of print and digital media offerings.

For Axel Springer AG, the transaction is an additional important step in
implementing its strategy to become the leading digital media group.

Berlin, July 25, 2013

Axel Springer AG

Axel-Springer-Straße 65

D-10888 Berlin


Investor Relations Contact:
Claudia Thomé
+49 (0)30 2591-77421
claudia.thome@axelspringer.de


25.07.2013 DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language: English
Company: Axel Springer AG
Axel-Springer-Straße 65
10888 Berlin
Germany
Phone: +49 (0)30 2591-77421
Fax: +49 (0)30 2591-77422
E-mail: ir@axelspringer.de
Internet: www.axelspringer.de
ISIN: DE0005501357, DE0005754238
WKN: 550135, 575423
Indices: MDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Düsseldorf, Hamburg, Hannover, München, Stuttgart

End of Announcement DGAP News-Service

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Investor contact: Claudia Thomé
Tel: +49 30 2591 77421