Reader’s Digest was acquired by Mike Luckwell in February 2014 for £1 after the previous owners had incurred significant losses.
Mike Luckwell said: “The company required an immediate ‘Turnaround’ and many changes were made in the weeks following the acquisition and Gary Hopkins worked closely with me on that. On day one, the company required me to provide significant working capital but this was recouped within 70 days. From that point onwards, Reader’s Digest was profitable and strongly cash generative. It has been an excellent investment but the company is now smaller and this is a good moment for a change of control.”
Reader’s Digest continues to be profitable, albeit the company is not immune to the decline in the publishing sector, says Mike Luckwell. Greater emphasis has recently been put on the development of the digital side of Reader’s Digest and exploitation of partnerships.
Mike Luckwell said: “I am proud to have played a major role in the turnaround, or restoration, of this venerable and famous household brand name, and to have continued the tradition of the high standard of editorial content. Reader’s Digest had fallen on hard times, prior to my 2014 acquisition, and I wanted to ensure that its future was secure. I am confident that Gary Hopkins will be a good pair of hands to whom to entrust this wonderful publication.”
Gary Hopkins said: “I am delighted to again be able to play a major role in Reader’s Digest. There are some great new opportunities for Reader’s Digest and I look forward to being able to implement a new strategy for Reader’s Digest going forward.”