KKR To Buy Simon & Schuster From Paramount Global For $1.62 Bln

(RTTNews) - KKR (KKR) has agreed to acquire Simon & Schuster from Paramount Global (PARA, PARAA) for $1.62 billion in an all-cash transaction.

"We are pleased to have reached an agreement on a transaction that delivers excellent value to Paramount shareholders while also positioning Simon & Schuster for its next phase of growth with KKR," said Bob Bakish, President and CEO of Paramount Global. "The proceeds will give Paramount additional financial flexibility and greater ability to create long-term value for shareholders, while also delevering our balance sheet."

After the closing of the transaction, Simon & Schuster will become a standalone private company and will continue to be led by Jonathan Karp, President and CEO and Dennis Eulau, COO and CFO of Simon & Schuster.

"All of the executives at Simon & Schuster who met with KKR came away from those conversations impressed with the depth of KKR's interest in our business and their commitment to helping us grow, thrive and become an even stronger company," said Jonathan Karp. "With KKR's support, we look forward to collaborating on new strategies that will enhance our ability to provide readers a great array of books and to give authors the best possible publication they can receive."