Doğan Holding merges with publishing group

Doğan Holding, the owner of Turkey’s largest media group, has merged with Doğan Yayın Holding, a subsidiary publishing group, according to an announcement on the company’s website on Monday.

Doğan Holding will acquire all of Doğan Yayın’s assets and liabilities as the publishing unit is merged within the company. According to a Bloomberg report on Tuesday, the merger will benefit shareholders, as shares of Doğan Holding rose 8.8 percentage points this morning following news of the agreement. The increase was a four-month high; stock shares of Doğan Yayın increased by 11.8 percentage points.

Following the merger, the total market value of both companies stood at TL 2.9 billion — just under $1.4 billion — after yesterday evening’s stock market closures. The market value for Doğan Holding was TL 1.7 billion while Doğan Yayın’s market value was TL 1.24 billion.

Other companies listed on Borsa İstanbul, Turkey’s stock exchange, that operate under the umbrella of the Doğan Holding also fared well on the market, experiencing sharp gains in the value of their stocks.

In the company’s statement, it was announced that investors who did not approve of the merger would have the opportunity to sell shares of either Doğan Holding or Doğan Yayın at fixed rates.

The Doğan Media Group owns many of Turkey’s major media outlets, including the Posta, Hürriyet, Hürriyet Daily News and Radikal newspapers, as well as the Doğan News Agency (DHA) and the Kanal D and CNN Türk television channels.

SOURCE: TODAY’S ZAMAN