Alma Media Corporation Stock Exchange Release 7 November 2013 at 9.00 am (EET)
ALMA MEDIA WIDENS CAREER SERVICES JOINT VENTURE WITH MONSTER
Polish, Hungarian and Czech Monster services will join Alma Media's comprehensive career services offering
Alma Media Corporation (OMXHelsinki: ALN1V) and Monster Worldwide, Inc., today announced the strengthening of their joint operations across Eastern Europe and the Baltics. In expanding their joint offering, Monster's career services will be combined with Alma Media's similar services to create a comprehensive offering in Poland, Hungary, Czech Republic, Slovakia, Croatia, Finland, Estonia, Latvia and Lithuania. The companies will be managed under a joint holding company named Alma Career Oy and will be reported as part of Alma Media's Digital Consumer Services segment.
Monster Worldwide will become a 15% minority owner of Alma Career Oy (formerly Monster Oy) by contributing its Poland, Hungary and Czech Republic operations and by acquiring from Alma Media shares in the holding company with a purchase price of MEUR 4.9, with Alma Media owning the other 85 %. Monster has an option to increase its ownership to 20% by 2017. Monster currently owns 25 % of the Monster business in Finland with Alma Media holding 75%. The combined focus of this new venture, along with additional investment to drive growth of the business, will enable stronger development and client benefit across the region. The joint venture will start operationally in the beginning of 2014.
The arrangement is in line with Alma Media's strategy to focus on recruitment and career services in the search for digital growth and more international operations. Alma Media has constantly been evaluating new opportunities in addition to the 70 MEUR of investment in 2012 in the Baltic countries, Czech Republic, Slovakia and Croatia. After combining the Monster EE (Poland, Hungary and Czech Republic) operations with Alma Media's career services, the combined annual revenue is expected to exceed MEUR 35 in 2013. The joint venture arrangement does not result in any EBIT improving bookings at the time of completion. The arrangement strengthens Alma Media's equity and generates a positive cash flow effect of MEUR 4.9 for the first quarter of 2014. Due to the arrangement Alma Media's 2014 revenue will increase by approximately MEUR 3.
"Widening the already fruitful cooperation with Monster is a great continuation to our strategy. Alma Media will continue its current operations with existing brands and technologies, but will also be able to benefit from the Monster technology, service concepts and the sales network in the chosen market areas. Monster Worldwide will be able to grow its global network with our market leading services", says Raimo Mäkilä, Senior Vice President of Alma Media's Marketplaces business unit.
"Monster and Alma are building upon our historically successful relationship to create comprehensive service offerings throughout Eastern Europe and the Baltics", said Andrea Bertone, Executive Vice President, General Manager, Europe and North America Sales, Monster Worldwide. "This is a winning combination, delivering world-class career marketplaces and an expanded advertising footprint across the region, providing a new level of service and wider talent pool reach to greatly benefit our local and global clients."
ALMA MEDIA CORPORATION
Vice President, Communications and IR
For more information, please contact:
Raimo Mäkilä, Senior Vice President, Head of Marketplaces, Alma Media Corporation, tel. +358 010 665 5802
NASDAQ OMX Helsinki
About Monster Worldwide
Monster Worldwide, Inc. (NYSE:MWW), is the global leader in successfully connecting job opportunities and people. Monster uses the world's most advanced technology to help people Find Better, matching job seekers to opportunities via digital, social and mobile solutions including monster.com®, our flagship website, and employers to the best talent using a vast array of products and services. As an Internet pioneer, more than 200 million people have registered on the Monster Worldwide network. Today, with operations in more than 40 countries, Monster provides the broadest, most sophisticated job seeking, career management, recruitment and talent management capabilities globally. For more information visit about-monster.com.
Alma Media in brief
Alma Media is a media company focusing on digital services and publishing. In addition to news services, the company's products provide useful information related to lifestyle, career and business development. The services of Alma Media have expanded from Finland to the Nordic countries, the Baltics and Central Europe. The company employs approximately 1,900 professionals (excluding distributors), of whom over 20% work outside Finland. Alma Media's revenue in 2012 totalled approximately MEUR 320. Alma Media's share is listed on NASDAQ OMX Helsinki. Read more at www.almamedia.com