Pearson sells the Financial Times

Media and education conglomerate Pearson has sold the Financial Times to Japan’s biggest media firm, Nikkei, for £844m.

Media and education conglomerate Pearson has sold the Financial Times to Japan's biggest media firm, Nikkei, for £844m. Nikkei is best known here for publishing the Japanese Nikkei stockmarket index. Person also owns 50% of The Economist, which it plans to sell too.

What the commentators said

What does Nikkei get out of it? It is paying up to secure "the somewhat distant future", said Rob Cox, also on Breakingviews. In the next 40 years, the Japanese population is expected to fall by 30%. Nikkei is "fully invested in and exposed to this shrinking market".

It dominates the market with three million print readers a day. It has "no obvious route to the global marketplace" that would allow it to compensate for this decline. Add in the fact that local young people are abandoning print, said The Guardian, and it makes sense for Nikkei to spend money on "one of the few really successful global digital brands".

The FT has certainly done well, said Nils Pratley in The Guardian, but it also appears to be a "wasted opportunity". The brand cachet has never been stronger and the journalistic output is excellent.It could have been "a financial publishing powerhouse capable of challenging the likes of Bloomberg". It has suffered from a lack of investment and ambition.

Taking the easy way out selling, rather than nurturing is a "fundamental malaise" in our economy, concluded the Evening Standard's Anthony Hilton. We seem to lack the imagination or the will to develop things for ourselves.

Recommended

The top funds to invest in
Funds

The top funds to invest in

As market volatility and recessionary fears continue, here are the most popular funds, stocks and trusts investors are putting their money into accord…
2 Feb 2023
The ten highest dividend yields in the FTSE 100
Income investing

The ten highest dividend yields in the FTSE 100

Rupert Hargreaves takes a look at the companies with the highest dividend yields in the UK’s blue-chip index
23 Jan 2023
The top ten dividend stocks in the FTSE 250
Share tips

The top ten dividend stocks in the FTSE 250

The average FTSE 250 dividend yield is around 4%, but many stocks yield much more. Rupert Hargreaves picks the best FTSE 250 stocks for income investo…
17 Jan 2023
Investing trends to watch out for in 2023: what analysts say
Investment strategy

Investing trends to watch out for in 2023: what analysts say

What are sensible strategies for high inflationary times? We ask analysts to find out.
22 Dec 2022

Most Popular

Best savings accounts – February 2023
Savings

Best savings accounts – February 2023

Interest rates on cash savings are making a comeback. We look at the best savings accounts on the market now
3 Feb 2023
The best one-year fixed savings accounts - February 2023
Savings

The best one-year fixed savings accounts - February 2023

Earn almost 5% on one-year fixed savings accounts.
3 Feb 2023
After slumping 42% last year, what's next for Scottish Mortgage?
Investment trusts

After slumping 42% last year, what's next for Scottish Mortgage?

After a spectacular couple of decades, the Scottish Mortgage Investment Trust fell by 42% last year. We take a look at the trust's performance and dis…
3 Feb 2023