Jagran in talks with Mid-Day for 'strategic alliance'

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Media firm Jagran Prakashan was learnt to be in talks to acquire stake in multiple-media conglomerate Mid-Day Multimedia . However, Jagran Prakashan's Chief Executive Officer RK Agarwal denied the speculation saying that the company was in discussion with Mid-Day for a "strategic alliance" and not a stake buy. "We are working on possibilities like marketing tie-up with Mid-Day, but the discussions are at very preliminary stages."

However, he denied to comment on whether it was an equity or a marketing alliance.

Mid-Day too could not be reached for comments.

Below is a verbatim transcript of the interview. Also watch the video.

Q: Are you interested in Mid-Day is it true that you are about to buy a stake?

A: No, I don't understand how this rumour has been making for some time. I have been approached buy people with the same query.

Q: So you are not in discussions at all with Mid-Day for an alliance of any kind?

A: We are in discussion with Mid-Day. We are just exploring the possibilities, if both of us can work together for mutual benefit.

Q: So what would that mean then, what would a strategic alliance between the two companies?

A: We are still working on various possibilities like having the marketing tie up, where we sell their marketing space so on and so forth. There is nothing, which is yet final and discussions are at a very preliminary space. We are looking at their very closely and I am not in a position to comment at this juncture what it is going be if at all it is going to materialize.

Q: But it is not an option right now for Jagran Prakashan to pick up some stake in Mid-Day for it to work as a combined entity instead of just having alliances of marketing etc?

A: It could make sense, I cannot rule out that possibility altogether but the discussions are at a very preliminary stage. Mr Tariq Ansari has always been treating Mid Day brand close to his hear, so I don't know whether he would be agreeable, not be agreeable, whether we would agreeable to take it over, I don't know at this stage what it is going to be ultimately.

Q: We understand you haven't taken a decision yet and you are not close to a deal but the deal that you are discussing involves some kind of an equity alliance-it's not just a loose marketing tie up you are discussing surely?

A: I would not like to comment at this juncture. It's at too preliminary stage to say anything.

Q: To ask a hypothetical question: If the Mid-Day promoter were open to selling his stake, would Jagran Prakashan be open to buying it?

A: I am not sure at this point of time.

Q: Then why are you talking to Mid-Day?

A: We are just exploring the possibilities of marketing tie up that is what we started with and let us see how it turns out to be.

Q: Is this only related to the print media space ie both your paper properties or does this also relate to the radio properties?

A: No we are not interested in radio at all.