Restructuring

RNS Number : 2156J

Centaur Media PLC

28 June 2011

 



28 June 2011

Centaur Media plc

Restructuring to accelerate digital migration and growth

Centaur Media plc (LSE: CAU, 'the Group', 'Centaur'), the business information and events group, announces today that as part of its ongoing digital migration and to accelerate the pace of revenue and margin growth, the Group is being restructured into three main operating divisions: Business Publishing, Business Information and Exhibitions.

As part of the restructuring initiatives, the Group's senior management team is being strengthened, activities within Business Publishing are being rationalised and a number of non-core assets are being sold.

Tim Potter, the principal architect of the Group's digital publishing migration strategy, will continue to head Business Publishing. Simon Middelboe, former CEO of EMAP Inform and recently at Informa's Lloyd's List, joins Centaur on 1August 2011 to lead Business Information.  His primary focus will be on building a portfolio of high value subscription products across the Group's target markets. 

The Group is in the process of appointing a new executive to head up the Exhibitions division.  These three divisional managing directors, together with Geoff Wilmot, the CEO and Interim CFO Mark Kerswell, will form the Operating Board.

The operational initiatives that have been or are in the process of being implemented, principally across Business Publishing, include:

·      Merging the legal and financial publishing businesses

·      Merging the marketing and creative publishing businesses.  Design Week and New Media Age will be published in digital format only

·      Merging the HR and Engineering publishing communities; and

·      The disposal of assets in niche markets including logistics and supply chain, recruitment, manufacturing and B2B construction.

The restructuring will have no impact on the Group's underlying performance for the year to 30 June 2011, although there will be a significant non cash impairment charge in relation to the write down of assets affected by the restructuring. Additionally, there will be a cash charge relating to the cost reductions. 

These initiatives will result in significant cost savings and operational benefits and will provide a more robust platform for revenue growth and margin improvement. 

The Group will publish a year end trading update on 14 July 2011. 

Geoff Wilmot, Group Chief Executive, commented:

"These restructuring initiatives will substantially improve the balance of the Group's revenue profile, our rate of growth and margins.

"The strengthening of the management team and operational changes are the next step in our repositioning to take full advantage of the significant growth opportunities in digital media and events. They will also reinforce our focus on building high value subscription revenues and provide a robust operational structure to support acquisitions."

Centaur Media plc	[phone]
Geoff Wilmot, Chief Executive
Mark Kerswell, Interim Finance Director
College Hill	[phone]
Adrian Duffield / Kay Larsen

 

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