Smiths bags 137m pound Telegraph deal

Newspaper distributor Smiths News has bagged a five-year contract extension with Telegraph Media Group.

Newspaper distributor Smiths News has bagged a five-year contract extension with Telegraph Media Group.

The new deal is worth roughly £137m of Smiths' annual revenues and will see the company provide newspaper wholesaling services to the Telegraph until October 2019.

Smiths said the new agreement had secured around a third of its total sales through to 2019.

The contract extension equated to 15% of the national newspaper distribution market and secured 63% market share of Telegraph Media Group's newspaper distribution business for an additional five years.

Smiths' Chief Executive Officer Mark Cashmore said: "We are delighted to have extended our relationship with Telegraph Media Group, securing another significant publisher agreement for our newspaper and magazine distribution business.

"Visibility of almost one third of revenues to 2019 reinforces confidence in our strategy and the ability of Smiths News to deliver sustainable profits in the medium term."

Shares in Smiths News were up 0.2% to 170.75p on Tuesday.

OH

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020

Most Popular

Why we won’t see a house-price crash in 2021
House prices

Why we won’t see a house-price crash in 2021

Lockdown sent house prices berserk as cooped up home-workers fled for bigger properties in the country. And while they won’t rise quite as much this y…
18 Jan 2021
Inflation is the easiest way out of this – just don’t expect politicians to admit it
Inflation

Inflation is the easiest way out of this – just don’t expect politicians to admit it

The UK government borrowed £34.1bn in December, a record amount for that month. Britain's debt pile now amounts to 100% of GDP. How are we going to pa…
22 Jan 2021
When will the US stockmarket bubble burst?
US stockmarkets

When will the US stockmarket bubble burst?

With US stocks more expensive than before the Wall Street crash of 1929, there are growing signs of “mania”. But what will push markets over the edge?
22 Jan 2021