The Irish Times is in advanced negotiations with the Gazette Group of local newspapers which may lead to a buyout or significant investment in the group.
The Gazette Group publishes local newspapers in Lucan, Blanchardstown and Clondalkin in west Dublin. It was set up in 2003 by Michael McGovern, a former executive with Saatchi & Saatchi , with journalist and former GAA player Liam Hayes.
It is understood the two companies have been in discussions for several weeks, but a final deal remains some weeks away. If a deal is agreed, it will have to be referred to the Competition Authority as are all media takeovers or investments.
The value of the deal has not been disclosed. The Irish Times Limited last night declined to comment on the talks at this time.
It is understood no other publishers are in talks with the Gazette Group at this time. The group started by publishing the Lucan Gazette in March 2004 and subsequently established the Blanchardstown Gazette in May 2004.
The Clondalkin Gazette was launched in October 2005. The Gazette Group claims the three titles are selling approximately 17,000 copies per week between them. The Lucan and Blanchardstown papers are on sale on Wednesday mornings with the Clondalkin Gazette on sale on Thursday mornings. All three papers retail for €1.50.
The valuation of the group is hard to discern considering the Clondalkin edition was launched less than a year ago. The Gazette Group itself is owned by a company called Relevance Publishing, which has not lodged accounts with the Companies Office so far.
Among the major shareholders are Mr Hayes, Mr McGovern and the publishers of the Andersontown News. The papers are printed by the Midland Tribune.
:quality(70)/cloudfront-eu-central-1.images.arcpublishing.com/irishtimes/VR3765MFOBH2NMV2QNICYDF67M.png)