After weeks of speculation, Bloomberg LP just announced that it has agreed to acquire BusinessWeek from McGraw-Hill Cos.
Bloomberg, a late entrant into the bidding for the business weekly, did not disclose terms of the deal.
There had been some speculation last week that, if Bloomberg were to acquire BusinessWeek, the magazine’s staff might be dumped and replaced by the current staff of Bloomberg Markets magazine. Although the press release that just went out about the deal didn’t address any staffing decisions yet, it did note that Bloomberg’s chief content officer Norman Pearlstine has now been named chairman of BusinessWeek.
“Norm’s role will ensure that we fully capitalize on the combined strengths of Bloomberg and BusinessWeek,” said Matthew Winkler, editor-in-chief of Bloomberg News.
We’ll keep you updated as this story progresses. Know anything? Let us know.
Full release after the jump.
Update: BusinessWeek‘s own “On Media” column reports that Bloomberg likely offered $2 to $5 million in cash for the magazine and “has agreed to assume liabilities, including potential severance payments.” Added reporter Tom Lowry, “It remains to be seen how much of the magazine’s 400-plus staff Bloomberg plans to cut, but reports of a planned scorched earth campaign are overblown, say sources.”
Another update: BusinessWeek Publisher Keith Fox‘s memo to the magazine’s staff: “While the ink is barely dry and the long-term plans are being worked out, we do know that Bloomberg is committed to and values our brand, our editorial integrity, and our ability to drive advertising, circulation, and new digital revenue.”
Earlier: Down To The Wire At BusinessWeek