“Forbes to be acquired by Russian investment fund”

Written on 24th November 2008                                                                                                              1 COMMENT
Ernst-Jan Pfauth, editor in chief

“When the economy is shrinking”, Yakov Sadchikov from Russian blog Quintura writes, “it’s a good time for private equity investors to buy assets at a low valuation.” Companies from his country are doing just so. News stories about Russian funds going on a buying spree frequently find their way to this blog. According to some recent reports, ONEXIM Group is about to acquire publishing giant Forbes.

Mikhail Prokhorov

The Forbes portfolio include the famous Forbes magazine and spin-offs like ForbesAutos. These publications will soon probably be in Russian hands. The ONEXIM Group, led by oligarch and playboy Mikhail Prokhorov, is one of Russia’s largest private investment funds – worth $25 billion – with a focus on mining industry, real estate, and energy.

Surviving

If the complicated acquisition will be completed, many people might dislike the fact a Russian company owns a traditional American publishing house. Yet in these harsh times, acquisitions by foreign parties might be their only way to survive.