Done: Perseus Sold to Ingram and Hachette
The sales of Perseus Books Group publishing operations to Hachette Book Group and its distribution operations to Ingram Content Group both closed late last week.
Ingram chairman and CEO John Ingram noted that with the purchase, "Ingram's center of gravity is shifting to one that is more focused on providing comprehensive publisher services on a global scale. This acquisition supports this shift and our ongoing transformation. We're strengthening our commitment to the success of our clients and customers, and are excited about what the future holds for Ingram and the book business."
Ingram is combining Perseus's client service business, which has 600 publisher clients, with Ingram Publisher Services, which has some 115 clients. Ingram is adding Perseus's warehouse in Jackson, Tenn., to its warehouse network. Longtime the largest wholesaler in the country, Ingram is now also the largest distributor.
Michael Pietsch, Hachette Book Group CEO, called his company's purchase of Perseus's publishing operations "a major step forward for Hachette. It adds to our portfolio of publishers a new program of great diversity and strength, and advances our strategic goals of overall growth, and the expansion of our nonfiction and backlist catalogs." Perseus Books is now a major new publishing division of the company.
In a letter, CEO and president David Steinberger thanked Perseus employees "for all of your hard work on behalf of the company, our authors, our books and the publishers who we served. I could not be more proud of what we accomplished together.
"I am also deeply grateful to have had the opportunity to work alongside so many extraordinary colleagues who, over and over again, demonstrated character, talent and--of course--tenacity, in working toward our common mission.
"I am reminded at this time what a privilege it is to be able to work at a place where what we do is important--to readers, to the culture and to the world. As our author Viktor Frankl reminds us, what people search for in their lives, and certainly our work lives, is meaning. I have found great meaning in our work together that I will carry with me always."
With the sale of the company, Steinberger is leaving the company. He will continue as chair of the National Book Foundation, but "beyond that, I am going to spend some time before deciding what comes next."
Among other top Perseus executives, senior v-p and group publisher Susan Weinberg is joining Hachette as senior v-p and publisher of Perseus Books, and Matty Goldberg, Perseus president of publishing, client and sales development, is joining Ingram.
Most of the other top Perseus executives apparently are not moving to either Hachette or Ingram, including:
Charles Gallagher, COO, who joined Perseus in 2010 as CFO and was promoted in 2014.
Mark Suchomel, president, client services, who was in charge of the distribution side of Perseus. Longtime president of IPG, he joined Perseus in 2013 as founder of the Legato Publishing Group and was promoted in 2014.
Rick Joyce, chief marketing officer, who joined Perseus in 2005, after spending more than a dozen years as a consultant with Accenture and Booz Allen & Hamilton.
Raymond Floyd, senior v-p for operations, who joined Perseus in 2014. A veteran operations executive, he had earlier worked at General Electric for 13 years.
Chris Wagner, v-p of distribution and general manager of Jackson operations, who had been with Perseus since 2005. Before that, for five years, he was CFO of Client Distribution Services, which was bought by Perseus.
David Bronstein, chief talent officer, who before joining the company in 2012, held executive HR positions at several companies.