6 Sep 2019 07:00
Connect Group PLC
("the Group" or "Connect Group")
Smiths News agrees new long term contract with The Telegraph
Connect Group is pleased to announce that Smiths News has agreed a new long-term contract with The Telegraph, running from October 2019 through to September 2024, covering the distribution of The Daily Telegraph and Sunday Telegraph.
The agreement encompasses all of Smiths News' existing distribution territories with The Telegraph, securing annual revenues in excess of £100m at current market values, and accounting for circa 15% of its newspaper sales.
Following other recently announced agreements, Smiths News has now secured 80% of its total newspaper and magazine revenues under new long term contracts until at least 2024.
Jos Opdeweegh, Group Chief Executive Officer, commented:
"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 £900m of annual revenues, underpinning the long-term sustainability of Smiths News and its contribution to the Group as whole."
Enquiries:
Connect Group PLC
Jos Opdeweegh, Chief Executive Officer
Tony Grace, Chief Financial Officer
01793 563641
www.connectgroupplc.com
Buchanan (Financial PR)
Richard Oldworth / Jamie Hooper
connect@buchanan.uk.com
www.buchanan.uk.com
Person responsible for arranging release of this announcement:
Stuart Marriner, General Counsel & Company Secretary
Connect Group PLC
Rowan House
Cherry Orchard North
Kembrey Park
Swindon
SN2 8UH
email: cosec@connectgroupplc.com
LEI: 2138004O33ONVOOQXB02
About Connect Group
Connect Group PLC is a UK based specialist distributor and a leading provider of distribution solutions in complex and fragmented markets. The Group's networks are focused on serving high density early morning deliveries and the demands of mixed and irregular sized freight.
The Group's core businesses are each leading players in their markets:
Smiths News
Smiths News is the UK's largest newspaper and magazine wholesaling business with an approximate 55 per cent. market share. It distributes newspapers and magazines on behalf of the major national and regional publishers, delivering to approximately 27,000 customers across England and Wales on a daily basis. The speed of turnaround in the UK and density of Smiths News' coverage is critical to one of the world's fastest physical supply chains.
Dawson Media Direct (DMD) supplies newspapers, magazines and inflight entertainment technology and content to over 80 airlines in 50 countries. Delivering to strict time windows with security accreditation, DMD serves the specialist needs of airlines and travel points in the UK and worldwide with printed and digital media.
Tuffnells
Tuffnells is a leading distributor of mixed and irregular freight, serving approximately 5,000 small and medium sized enterprises across the UK. Its network of 37 depots collects and delivers mixed parcel freight consignments, specialising in items of irregular dimension and weight ("IDW"), examples of which include bulky items, building materials and automotive parts. With a mix of local and national clients, Tuffnells completes up to 70,000 daily deliveries, offering a range of timed services that are responsive to customer demand.