TIME Inc. sold to Meredith and Koch brothers

Media company Meredith announced Sunday that it has agreed to buy the 95-year-old magazine's publisher, Time Inc., for $2.8 billion. Acquiring the legendary magazine business gives Meredith control of dozens of other big titles such as People, Sports Illustrated, Fortune and Entertainment Weekly. Meredith already publishes several top magazines, including Parents, Shape and Better Homes & Gardens. The two media companies are worth roughly the same on the stock market. To finance the deal, Iowa-based Meredith is taking on some serious debt, borrowing about $3.6 billion from an assortment of lenders. It also plans to sell a sizable chunk of the combined business -- $650 million worth -- to a company owned by Charles and David Koch. The Koch brothers are mega-donors to the Republican party and conservative causes.  
Meredith said in a statement that the Koch brothers will not have seats on the board "and will have no influence on Meredith's editorial or managerial operations." The company said the Koch brothers' investment underscores the significant "unlocked value" from the merger. (CNN)
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