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

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework
Investment strategy

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework

John Stepek talks to Steve Clapham, investor, analyst and author of The Smart Money Method, about the dangers in picking individual stocks and why you…
8 Apr 2021
BP looks set to return more money to shareholders as it beats expectations
Energy stocks

BP looks set to return more money to shareholders as it beats expectations

Oil major BP is to embark on a share buyback programme after significantly reducing its debts. Saloni Sardana looks at what it means for your portfoli…
6 Apr 2021
Deliveroo has hit the market – but it’s not getting the warmest welcome
UK stockmarkets

Deliveroo has hit the market – but it’s not getting the warmest welcome

Food delivery company Deliveroo made its debut on the stockmarket this morning. But with the share price sliding by 30% straight away, it’s not made t…
31 Mar 2021
Three stocks to buy now that will come back stronger after Covid-19
Share tips

Three stocks to buy now that will come back stronger after Covid-19

Professional investor Ed Wielechowski of Odyssean Capital, chooses three compelling stocks that should thrive in a post-pandemic world.
29 Mar 2021

Most Popular

The bitcoin bubble will burst: here’s how to play it
Bitcoin

The bitcoin bubble will burst: here’s how to play it

The cryptocurrency’s price has soared far beyond its fundamentals, says Matthew Partridge. Here, he looks at how to short bitcoin.
12 Apr 2021
Four investment trusts for income investors to buy now
Investment trusts

Four investment trusts for income investors to buy now

Some high-yielding listed lending funds have come through the crisis with flying colours. David Stevenson picks four of the best.
12 Apr 2021
Central banks are rushing to build digital currencies. What are they, and what do they mean for you?
Bitcoin

Central banks are rushing to build digital currencies. What are they, and what do they mean for you?

As bitcoin continues to soar in value, many of the world’s central banks are looking to emulate it by issuing their own digital currencies. But centra…
8 Apr 2021