New York-based Quadrangle Group’s private equity arm will acquire Dennis Publishing’s US magazine division. The deal is estimated to be worth around $250 million (€188 million), and includes men’s magazines Maxim, Blender and Stuff, as well as their related websites, the Maxim network on Sirius Satellite Radio, an associated restaurant chain, nightclubs, resorts and an event marketing company.
Media industry executive Kent Brownridge has teamed with Quadrangle on the deal, investing capital of an undisclosed amount, and will become the media company’s chief executive, post-transaction.
“We have known and admired Kent for more than 15 years and are delighted to have the chance to partner with him. We believe he is the perfect executive to build on the powerful platform that [company founders] Felix Dennis and Stephen Colvin have established,” Peter Ezersky, a Quadrangle managing principal, said in a statement.
Brownridge spent 30 years at Wenner Media, where he oversaw production of titles including Rolling Stone, Men’s Journal and US Weekly.
Expected to close in the third quarter, the Dennis Publishing acquisition is an investment from Quadrangle’s second fund, which closed on $1.8 billion in 2005.
Dennis Publishing’s financial advisor was Allen & Company and its legal advisors were Jones Day. Quadrangle was represented by Davis Polk and Wardwell.
The Dennis Publishing deal is a first for the media- and communications-focused Quadrangle, whose only prior magazine-related transaction was in 2001 when it led a $23 million round of financing for Publishing Group of America, the parent of weekly community newspaper magazine American Profile.
Quadrangle’s portfolio companies include film and TV studio MGM, movie theatre chain Cinemark Theatres and cable operator Cablevision.