Macmillan Agrees to Sell Michie to Mead
NEW YORK (AP) _ Macmillan Inc. said Friday it agreed to sell Michie Co., which publishes materials for the legal profession, to the Mead Corp., a paper, forest products and electronic publishing concern, for about $226.5 million.
Macmillan said in signing a letter of intent that the companies hoped to complete the deal before the end of the year.
It would be the second major asset sale involving Macmillan since the giant publishing concern was acquired for $2.5 billion in early November by Maxwell Communication Corp., the British communications company run by Robert Maxwell.
Macmillan and Maxwell announced last week the sale of four subsidiaries for about $400 million to the leveraged buyout firm Kohlberg Kravis Roberts & Co.
Michie, which is based in Charlottesville, Va., publishes annotated state statutes, state agency publications and other reference publications used by the legal profession.
Mead, which is based in Dayton, Ohio, already has an electronic publishing unit, Mead Data Central, that accounted for about $231 million of the parent company’s $4.2 billion in revenue in 1987.
Among Mead Central’s services are the Lexis database that compiles legal news and the Nexis service that offers general and financial news to 200,000 users in the United States and overseas.
″This important acquisition is a further reflection of Mead Data Central’s long term commitment to expand the services and products it offers the legal community,″ said Burnell R. Roberts, Mead’s chairman and chief executive.
Last week, Macmillan and Maxwell announced they had agreed to sell Macmillan Books Clubs Inc., an operator of several specialty book clubs specializing in the sciences; Gryphon Editions, which publishes reprints in medicine and law; Intertec Publishing Corp., which publishes 14 specialty magazines; and Webb Publishing, which publishes agricultural magazines.
The buyer in that case was Kohlberg Kravis, the buyout firm that had sided with senior Macmillan managers in competing against Maxwell for Macmillan.