Johnston Press buys Leinster Leader group

Scottish media group Johnston Press has strengthened its position in the Irish regional paper market after buying the Leinster…

Scottish media group Johnston Press has strengthened its position in the Irish regional paper market after buying the Leinster Leader and Local Press companies for a combined €236 million.

Johnston Press will pay €138.6 million for the Leinster Leader group, whose titles include the Leinster Leader, Leinster Express, Offaly Express, Dundalk Democrat, Limerick Leaderand the Echo.

The Leinster Leader group reported revenues of €21.1 million and profits of €8 million for the year to August 31st.

Local Press titles include the Derry Journaland News Letterin Northern Ireland, and the Donegal Democratin the Republic. Local Press reported revenues of £18.5 million and operating profit of £4.9 million, according to its latest accounts.

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The two acquisitions represent "an attractive and complementary addition to its recently acquired portfolio of titles in Northern Ireland and the Republic of Ireland," Johnston Press said in a statement.

Johnston Press bought Score Press Ltd - a publisher of local weekly newspapers in Scotland, Northern Ireland and the Republic - for £155 million (€229 million).

The acquisition of the Leinster Leader Group is subject to the approval of the Irish Competition Authority and the Irish Minister for Enterprise, Trade and Employment under the legislation governing competition and the ownership of newspapers.

The company has already to enter discussions with the National Union of Journalists.

Irish Secretary, Séamus Dooley said: "The price paid for the titles reflects the financial stability of the group and we hope with our pay negotiations with the Johnston Group throughout the UK and Ireland, that the journalists who are at the heart of the editorial operations will see that fact reflected through pay increases."