The Department of Canadian Heritage and the Competition Bureau have approved the merger of two of the country’s largest trade publishers: Bertelsmann-owned Random House of Canada and Pearson-owned Penguin Canada.
The merger, expected to take effect this summer, was announced in October. So far approval has been granted in the U.S., Australia, and New Zealand.
A press release from Penguin Canada notes that, once the merger is complete, Beterlsmann will own 53 per cent and Pearson will own 47 per cent of the new entity, Penguin Random House. It will encompass the two former companies’ publishing assets in the U.S., Canada, the U.K., Australia, New Zealand, India, and South Africa, as well as Penguin’s China operations and Random House’s operations in Spain and Latin America.
“Pearson and Bertelsmann believe that the combined organisation, the world’s leading consumer publishing company, will have a stronger platform and greater resources to invest in rich content, new digital publishing models and high-growth emerging markets,” the release says.