Johnston buys Scotsman newspaper group for €235m

JOHNSTON Press, the largest regional newspaper publisher in Ireland, has bought The Scotsman newspaper group in a €235 million (£160m) deal.

The deal includes The Scotsman, Scotland on Sunday, the Scotsman website, the Edinburgh Evening News and the Edinburgh Herald & Post series.

Edinburgh-based Johnston Press acquired the company from the Press Holdings Group.

Press Holdings Group publisher Andrew Neil said: “It has been a privilege to own and run a prestigious flagship title like The Scotsman, along with its successful associated titles, these past 10 years.”

Johnston Press owns the Kilkenny People, Leinster Leader, Dundalk Democrat, the Limerick Leader, the Offaly Express and the Tallaght Echo. Johnston is the fourth largest local and regional newspaper group in Britain.

Tim Bowdler, chief executive of Johnston Press, said: “Scotsman Publications comprises one of Scotland’s highest quality newspaper portfolios and The Scotsman and its website Scotsman.com are among Scotland’s best known newspaper and internet brands. With its Scottish heritage, Johnston Press is particularly pleased to have reached agreement to acquire Scotsman Publications.”

Last year Scotsman Publications reported profits before interest and tax of £7.7m on turnover of £63.5m, with gross assets of £127.5m.

It has a total weekly paid- for circulation of 840,000, while the Scotsman website registers more than three million users per month.

Press Holdings, which is owned by David Barclay and his brothers Frederick, also owns the Telegraph Group.

Mr Neil said: “It’s sad for me to be selling The Scotsman group because I’ve been associated with it for 10 years. It has a great group of journalists and great editorial products. But we’re leaving the paper in very good hands.”

Press Holdings now intends to concentrate on a major expansion of online women’s magazine handbag.com, Mr Neil said.

The brand will be launched in the US and Australia, alongside a British promotional push in the New Year.

Press Holdings will retain ownership of The Scotsman building, now valued at over £25m.