The Competition and Markets Authority has cleared a proposed joint venture between News UK and DMG’s printing operations.
The two companies will now create a new company to run their combined print and distribution functions. That will mean the closure of DMG Media’s sites in Dinnington, Sheffield and Thurrock in Essex.
They say the new joint venture will improve the efficiency of their operations and establish a sustainable business model for national newspaper printing in the UK.
The 3 remaining sites in Knowsley (Merseyside), Eurocentral (Glasgow) and Broxbourne (Herfordshire) will print more than 3m newspapers a night and almost 22m every week.
The new company will operate independently, with its own senior leadership team drawn from Newsprinters and DMG Media. Darren Barker, currently Managing Director of Newsprinters, will become CEO, while Julia Palmer-Poucher, currently Group Production Director at DMG, will become COO. The new company is expected to go live in early June.
“This partnership creates the foundations for the continued production and distribution of millions of newspapers across the UK every day, informing and entertaining millions of loyal readers,” said Barker.
“I’m excited to lead the team which will play its part in ensuring a long-term sustainable future for the newspaper printing industry, clients and the national daily newspaper ecosystem in the UK.”
DMG Media and News UK underlined that this was purely limited to printing and “does not represent closer working between News UK and DMG Media on media, editorial or commercial activity.”
“It has been our long-term view that consolidating print operations is vital to retaining a national network of print and distribution logistics and, crucially, supporting the unique plural media landscape in the UK,” said News UK EVP, Chief Operating Officer, David Dinsmore.
“I’m delighted that the CMA has cleared the combination of our printing operations. This decision means that readers of all newspapers can expect to enjoy them for many years to come. I have no doubt that the new company created by this joint venture – led by Darren Barker – will provide best-in-class service to all the newsbrands it serves.”
DMG Media will retain sole ownership of the Carn print site in Northern Ireland which is unaffected by the joint venture.
