Independent Print Media Group , owned by the wealthy Hannan family, will shut its NDD magazine distribution business after the loss of its major client and an unsuccessful attempt to offload the business.
The Hannan family, valued at $630 million on the latest BRW Rich 200, told customers about the closure of the division on Monday.
The company distributed around 1200 magazine titles, including titles from Reader’s Digest, Conde Nast and Universal Magazines
It is believed a key reason for the closure was the loss of a valuable distribution contract with News Limited. IPMG sold its magazine and suburban newspaper business to News Limited in April 2007, and News Limited’s contract with NDD expired earlier this year.
In April, News Limited then shifted its distribution contract to Gordon & Gotch, which is owned by printing company PMP. The other player still standing in this market is Network Services, owned by PBL Media.
According to a report in the Australian Financial Review, NDD has 65 full-times staff and 150 part-time merchandising staff.
IPMG attempted to sell all or part of NDD late last year without success.
ABOUT THE AUTHOR
COMMENTS
SmartCompany is committed to hosting lively discussions. Help us keep the conversation useful, interesting and welcoming. We aim to publish comments quickly in the interest of promoting robust conversation, but we’re a small team and we deploy filters to protect against legal risk. Occasionally your comment may be held up while it is being reviewed, but we’re working as fast as we can to keep the conversation rolling.
The SmartCompany comment section is members-only content. Please subscribe to leave a comment.
The SmartCompany comment section is members-only content. Please login to leave a comment.