Bauer Media bids for BBC Magazines

Bauer Media, the publisher of magazines such as Closer and Heat, has reportedly been shortlisted to buy the BBC's magazines portfolio.

According to The Sunday Times, Bauer is among four bidders still in the running to acquire all or part of BBC Magazines, publisher of Radio Times, Top Gear and Good Food.

BBC Worldwide, the BBC's commercial arm, confirmed plans in September to sell off its magazines division, which is the UK's fourth largest magazine publisher in terms of circulation.

The proposed move was part of the BBC's strategy review, which called on Worldwide to focus on its international operations and "move away from physical media".

The structure of any sale deal has not yet been determined, but could involve a bidder buying a majority equity stake in the business of up to 85%.

Around 30 parties initially expressed an interest in BBC Magazines, but the field is now down to just four parties, including Bauer Media.

National Magazines, publisher of Cosmopolitan, Good Housekeeping and Men's Health, is understood to have dropped out of the auction.

BBC Magazines, which is valued at around £180m, made a pre-tax profit of £18.4m in 2009/10 on turnover of £168.3m, up from £16.2m in 2008/9 on turnover of £170.6m.

In July, Worldwide sold 85% of its BBC Audiobooks division - publisher of bestsellers such as Under Milkwood and Winnie the Pooh - to AudioGo for around £10m.