(Alliance News) - Connect Group PLC on Friday said it has agreed a new distribution contract with the Daily Telegraph newspaper, which is worth more than GBP100 million per year in revenue.
The agreement was signed between Connect's Smiths News business and the Telegraph and concerns the distribution of the Daily Telegraph as well as the Sunday Telegraph.
Connect said the new deal includes all of Smiths News' current distribution territories with the newspaper and has secured "annual revenues in excess of GBP100 million at current market values". The deal accounts for 15% of all newspaper sales for Smiths News.
Following the deal, as well as recent agreements - such as the five-year deal with magazine distributor Marketforce announced in August - 80% of Smiths News's overall magazine and newspaper revenue is secured until 2024.
Connect Chief Executive Jos Opdeweegh said: "I'm delighted that we have agreed a new contract with the Telegraph. The accelerated renewal of our publisher contracts has been a strategic priority this year, and since September 2018 we have successfully renewed over GBP900 million of annual revenues, underpinning the long-term sustainability of Smiths News and its contribution to the group as whole."
Shares in Connect were down 0.3% at 38.90 pence each in London on Friday morning.
