Bloomberg L.P. has announced it is acquiring BusinessWeek. The business magazine has been on the block for months and in recent weeks Bloomberg L.P. has been rumored to be the front runner in the bidding process.
Terms of the deal were not disclosed, but sources told BusinessWeek‘s Tom Lowry that the deal was in the, “$2 million to $5 million range and that it has agreed to assume liabilities, including potential severance payments.” Lowry says the publication will continue to publish weekly in print and “around the clock” online, and the BusinessWeek brand will be “used aggressively to bolster Bloomberg TV, radio and mobile operations.”
TVNewser reports BloombergTV, “which has undergone belt tightening since the arrival of former NBC News president Andy Lack last year, will incorporate the BusinessWeek brand and its journalists on air.”
The question is: how many of BusinessWeek‘s staff will remain after the company is officially folded into Bloomberg? In a memo to potential buyers, parent company McGraw-Hill made suggestions, “including a 20 percent layoff of employees, mostly in editorial and back-office functions,” reports the Times‘ Stephanie Clifford.
FishbowlNY has the full release.