Cablevision Buys Newsweek to Bring New Synergies to Help Spur Revenue Growth

(NewsVisual, powered by IntellectSpace) -- In its second acquisition within a one-week period, Cablevision Systems Corp (NYSE:CVC) announced on Monday that it will acquire from the Tribune Company approximately 97 percent of the Newsday Media Group.

The Group’s chief property is Newsday, one of the nation's largest daily newspapers, which serves Long Island and New York City.

Cablevision valued the deal at $632 million, its statement said.

“We admire Newsday’s strong editorial voice and reputation for quality as well as its leadership in print and online journalism. We are committed to maintaining Newsday’s journalistic integrity and important position in the marketplace,” said Cablevision Chairman Charles F. Dolan in the company’s statement.

Yet there are many critics of the deal as well. NewsVisual reported on May 8 that there was considerable investor unease over the company’s strategic plan for growth.

These concerns were addressed somewhat by the younger Dolan in the following statement:

“Both Cablevision and Newsday are in the content, customer relationship and advertising business and we see this as a wonderful fit. Adding Newsday Media Group’s superb assets to Cablevision’s portfolio presents a multitude of opportunities: to provide consumers with additional quality content on multiple platforms; expand advertising opportunities for both entities; and attract a larger audience than either company could on its own,” said Cablevision CEO/President James L. Dolan.

“We strongly believe Newsday Media Group and Cablevision share the same consumer-focused values, and we look forward to building on our mutual history in the New York area with these wonderful assets under the same umbrella,” he added.

NewsVisual created an IntellectSpace Knowledge Map of Cablevision’s Board of Directors in order to assess their collective level of business experience.

The Knowledge Map shows that several of the Directors sit on the boards of several corporations, including Sheraton Corp., Harrahs Entertainment Inc., and Hasbro Inc., to name a few.

To view all of the business connections of Cablevision’s Directors, click here for an interactive and fuller version of this IntellectSpace Knowledge Map.

(Note: the information contained and presented in Knowledge Maps is public information from the Securities and Exchange Commission of the United States of America).