Press release
Houghton Mifflin Harcourt Enters Into Definitive Agreement to Divest HMH Books & Media Consumer Publishing Business for $349 Million
Upon closing of transaction, HMH to become pure-play K-12 learning technology company BOSTON, March 29, 2021 /PRNewswire/ -- Learning technology company
About this update from News Corporation
[{"type":"text","content":"Upon closing of transaction, HMH to become pure-play K-12 learning technology company\n\n\nBOSTON, March 29, 2021 /PRNewswire/ -- Learning technology company Houghton Mifflin Harcourt (\"HMH\" or the \"Company\") (Nasdaq: HMHC) today announced that it has entered into a definitive agreement to divest HMH Books & Media, its consumer publishing business, to HarperCollins Publishers, a division of News Corp (Nasdaq: NWSA), a global, diversified media and information services company, for a cash purchase price of $349 million.The divestiture enables HMH to focus singularly on K–12 education and accelerate growth momentum in digital sales, annual recurring revenue and free cash flow while paying down a significant portion of its debt. \n\n \n \n \n \n \n \n\n \nFor nearly two centuries, HMH Books & Media has published some of the world's most renowned novels, nonfiction, cookbooks and children's books. HMH publishes celebrated best-sellers such as the popular J.R.R. Tolkien titles, The Best American® series, major cookbook brands such as Instant Pot Miracle and the How to Cook Everything® series, as well as iconic children's books and characters such as Curious George®, Little Blue Truck, and The Giver. HMH Books & Media also houses HMH Productions, an innovative production company, with expertise across all media platforms that produces TV, film, and interactive media including Carmen Sandiego (an original Netflix series and film) and more.\n\"At HMH, we are incredibly proud of our legacy, which encompasses nearly 200 years of innovation in trade publishing and education, touching countless teachers, students and readers over time. The divestiture of the HMH Books & Media business allows us to deepen our focus on K–12 education, while also providing our talented consumer publishing colleagues and authors with infrastructure and support to fuel continued growth, champion new stories and continue this legacy,\" said Jack Lynch, President and CEO, HMH.\nHMH is the largest learning technology company in the K–12 market, serving 90% of the schools, teachers and students in the U.S. \"HMH is the leader in not only scale, but in proven, research-based programs informed by learning science—and it is that intersection of learning science and learning technology that sets us apart. There is incredible demand for our expertise as schools...