Harry Potter publisher Bloomsbury has snapped up the academic publishing group Rowman & Littlefield for £65million, its largest deal to date.
Bloomsbury said that the deal will make it one of the largest academic publishers in the US, strengthening its presence in areas like business and psychology and accelerating its digital growth.
Rowman & Littlefield’s academic publishing business generated a pre-tax profit of approximately $6 million (£5 million) last year, on revenues of £28 million.
Bloomsbury expects the acquisition to boost its earnings this year and points out that there are potential cost synergies to be had from combining the business and operational improvements.
Nigel Newton, chief executive of Bloomsbury, described the deal as a “game changer” given its scale.
He added: “Their 40,000 academic titles added to ours will make us a significant US academic publisher, growing Bloomsbury’s academic and digital publishing presence in North America, opening new markets and publishing areas to us, and is a key milestone in the delivery of our long-term growth strategy.”
Bloomsbury financed the deal using its own cash resources and a £30 million loan from Lloyds Banking Group.
Earlier this month, the publisher produced record annual profits and revenues thanks to the enduring appeal of J.K. Rowling’s boy wizard, and the books of Sarah J. Maas, Katherine Rundell, and Samantha Shannon.
