Guardian Media Group

Last updated
Guardian Media Group plc
Public limited company
Industry Media
Founded1907;112 years ago (1907) (Manchester Guardian)
1993 (1993) (Guardian Media Group plc)
Founder C. P. Scott
Headquarters,
United Kingdom
Area served
England, Wales
Key people
Amelia Fawcett
Andrew Miller
Products Newspapers, websites
RevenueIncrease2.svg £254.4 million (2017 - 2018) [1]
Increase2.svg £8.5 million [1]
Increase2.svg £8 million [1]
Owner Scott Trust Limited
Divisions Guardian News & Media
Top Right Group (formerly Emap)
GMG Property Services Group
Website www.theguardian.com/gmg

Guardian Media Group plc (GMG) is a British mass media company owning various media operations including The Guardian and The Observer . The group is wholly owned by Scott Trust Limited, which exists to secure the financial and editorial independence of The Guardian in perpetuity.

Mass media refers to a diverse array of media technologies that reach a large audience via mass communication. The technologies through which this communication takes place include a variety of outlets.

<i>The Guardian</i> British national daily newspaper

The Guardian is a British daily newspaper. It was founded in 1821 as The Manchester Guardian, and changed its name in 1959. Along with its sister papers The Observer and The Guardian Weekly, the Guardian is part of the Guardian Media Group, owned by the Scott Trust. The trust was created in 1936 to "secure the financial and editorial independence of the Guardian in perpetuity and to safeguard the journalistic freedom and liberal values of the Guardian free from commercial or political interference". The trust was converted into a limited company in 2008, with a constitution written so as to maintain for The Guardian the same protections as were built into the structure of the Scott Trust by its creators. Profits are reinvested in journalism rather than distributed to owners or shareholders.

<i>The Observer</i> weekly British newspaper, published on Sundays

The Observer is a British newspaper published on Sundays. In the same place on the political spectrum as its sister papers The Guardian and The Guardian Weekly, whose parent company Guardian Media Group Limited acquired it in 1993, it takes a social liberal or social democratic line on most issues. First published in 1791, it is the world's oldest Sunday newspaper.

Contents

The Group's 2018 annual report (year ending 1 April 2018) indicated that its owner, the Scott Trust Endowment Fund, reported a value of £1.01 billion (2017: £1.03bn). [2]

History

The company was founded as the Manchester Guardian Ltd. in 1907 when C. P. Scott bought the Manchester Guardian (founded in 1821) [3] from the estate of his cousin Edward Taylor.

C. P. Scott British journalist, publisher and politician

Charles Prestwich Scott, usually cited as C. P. Scott, was a British journalist, publisher and politician. Born in Bath, Somerset, he was the editor of the Manchester Guardian from 1872 until 1929 and its owner from 1907 until his death. He was also a Liberal Member of Parliament and pursued a progressive liberal agenda in the pages of the newspaper.

It became the Manchester Guardian and Evening News Ltd when it bought out the Manchester Evening News in 1924, later becoming the Guardian and Manchester Evening News Ltd to reflect the change in the morning paper's title. It adopted its current name in 1993.

In 1991 it had a 20% stake in a consortium which included LWT, STV, The Walt Disney Company and Carlton Communications for a new ITV breakfast franchise called GMTV

London Weekend Television former ITV network franchise

London Weekend Television (LWT) was the ITV network franchise holder for Greater London and the Home Counties at weekends, broadcasting from Fridays at 5.15 pm to Monday mornings at 6:00 am. From 1968 until 1992, when LWT's weekday counterpart was Thames Television, there was an on-screen handover to LWT on Friday nights. From 1993 to 2002, when LWT's weekday counterpart was Carlton Television, the transfer usually occurred invisibly during a commercial break as Carlton and LWT shared studio and transmission facilities.

Scottish Television television studio and ITV franchisee in Scotland, United Kingdom

Scottish Television is the ITV franchise for Central Scotland. The channel - the largest of the three ITV franchises in Scotland - has been in operation since 31 August 1957 and is the second oldest franchise holder still active.

The Walt Disney Company American mass media corporation

The Walt Disney Company, commonly known as Walt Disney or simply Disney, is an American diversified multinational mass media and entertainment conglomerate headquartered at the Walt Disney Studios in Burbank, California.

Guardian Monthly was a glossy magazine published by the Guardian Media Group for readers around the world. [4] Launched in November 2006, [5] it made selections from The Guardian and The Observer ’s magazine supplements available to an international audience of English-speakers. [6] Issues contained interviews with cultural figures, features about world issues, and regular articles on travel, books, sport, health, fashion, food and photography. In July 2007, the Guardian Media Group announced the cancellation of the Guardian Monthly. [7] In a letter to subscribers, Will Ricketts, Guardian Monthly's publisher, explained the reasons for the cancellation of the monthly magazine:

The company is taking a long-term strategic view of its activities and although Guardian Monthly has performed well in the busy and competitive international marketplace, we have decided that it is not the right time to continue with a global magazine offering.

In March 2007 GMG sold 49.9% of Trader Media Group to Apax Partners, in a deal that valued Trader Media Group at £1.35 billion. In December 2007 it was announced that GMG and Apax had made a successful bid to buy Emap's business-to-business arm for around £1 billion. [8]

Auto Trader Group plc is an automotive classified advertising business. It specialises in new and second hand automotive sales, including cars sold by private sellers and trade dealers. It is listed on the London Stock Exchange, and is a constituent of the FTSE 100 Index.

Apax Partners company

Apax Partners LLP is a British private equity firm, headquartered in London, England. The company also operates out of six other offices in New York, Hong Kong, Mumbai, Tel Aviv, Munich and Shanghai. The firm, including its various predecessors, have raised approximately $51 billion (USD) since 1981. Apax Partners is one of the oldest and largest private equity firms operating on an international basis, ranked the fourteenth largest private equity firm globally.

Ascential plc, formerly EMAP, is a British business-to-business media business specialising in exhibitions & festivals and information services. It is listed on the London Stock Exchange and is a constituent of the FTSE 250 Index.

In February 2010, the group sold its GMG Regional Media division (consisting of two companies MEN Media and S&B Media which operated 31 local and regional newspaper titles) to Trinity Mirror for £44.8 million. The sale ended the historic connection between The Guardian and Manchester as the sale of the Manchester Evening News was included in the package. [9] The division's local television station for Greater Manchester, Channel M, and two newspapers in Woking were not included in the sale.

In June 2012, Global Radio acquired GMG Radio from Guardian Media Group plc. [10]

In January 2014, GMG disposed of its remaining interest in Trader Media Group. [11]

Carolyn McCall was the chief executive of Guardian Media Group and chair of Guardian News and Media Limited from 2006 until June 2010, when she was appointed chief executive of EasyJet. [12] Andrew Miller, previously the chief financial officer of the Group, was chief executive from July 2010 to 2015. David Pemsel took his place in 2015. [13]

In October 2017, the Guardian Media Group reported a plan to launch a new £42 million venture capital fund. [14] That plan was consummated, making the Scott Trust a limited partner in GMG Ventures LP, whose Chairman & Co-Founder is David Skipwith Pemsel as of December 2018. [15] According to the GMG 2018 annual report, "this £42m venture capital fund is designed to contribute financial returns and to support GMG’s strategy by investing in early stage businesses focused on developing the next generation of media technology". [16]

Group structure

GMG’s core business is Guardian News & Media Limited, publisher of theguardian.com, and The Guardian and The Observer newspapers. Guardian News & Media was formed as Guardian Newspapers Limited in 1967, adopting its present name in 2006.

The group has a portfolio of investments to help support its journalism. [17] They comprise:

Guardian Media Group exists to support the core purpose of its owner, Scott Trust Limited: to secure the financial and editorial independence of The Guardian in perpetuity, [18] but in the 2011/12 year the group lost £75.6 million, [19] and for the three years up to June 2012, the paper itself lost £100,000 a day - leading Intelligent Life magazine to question whether The Guardian can survive. [20] In 2014, The Guardian launched a membership scheme, aiming to avoid introducing a paywall and maintaining open access to the website. As of 2018 this approach was considered successful, having brought more than 1 million subscriptions or donations, with the paper hoping to break even by April 2019 [21] , a goal they achieved in May 2019. [22]

Corporate governance

Board of directors

The board of directors are: [23]

Notes and references

  1. 1 2 3 "Annual Report and Consolidated Financial Statements for the year ended 1 April 2018", Guardian Media Group , April 1, 2018
  2. "Guardian Media Group plc (GMG) results for the financial year ended 1 April 2018". The Guardian. 24 July 2018.
  3. "History | Guardian Media Group PLC". Gmgplc.co.uk. Retrieved 2013-10-25.
  4. "Guardian to launch monthly mag". Press Gazette . 2006-09-05. Retrieved 2018-09-27.
  5. "Media choice: Guardian Monthly". Campaign . 2006-11-29. Retrieved 2018-09-27.
  6. Armstrong, Murray (2006-10-05). "New Guardian Monthly mag to be launched". The Guardian . Retrieved 2018-09-27.
  7. "Guardian Monthly ceases publication". Press Gazette . 2007-07-30. Retrieved 2018-09-27.
  8. Mark Sweney. "Emap confirms B2B sale to GMG and Apax". the Guardian.
  9. "Manchester Evening News sold by Guardian Media Group". Manchester Evening News. 2010-02-09. Archived from the original on 2012-09-09. Retrieved 2010-02-09.
  10. "Global Radio acquires GMG Radio | Guardian Media Group PLC". Gmgplc.co.uk. 2012-06-25. Retrieved 2013-10-25.
  11. "Guardian Media Group to divest holding in Trader Media". gmgplc.co.uk. 2014-01-21. Retrieved 2014-01-25.
  12. Davies, Caroline (23 March 2010). "Guardian group chief executive Carolyn McCall to join easyJet". The Guardian. Retrieved 12 December 2015.
  13. Sweney, Mark (18 June 2015). "Guardian Media Group appoints David Pemsel as chief executive". The Guardian. Retrieved 12 December 2015.
  14. "The Guardian turns venture capitalist in hunt for new income". The Telegraph. 18 October 2017.
  15. Bloomberg. 17 December 2018 https://www.bloomberg.com/research/stocks/private/snapshot.asp?privcapId=541561120 . Retrieved 17 December 2018. GMG Ventures LLP is a venture capital arm of Guardian Media Group plc specializing in seed, early-stage, incubation and startup investments. The firm seeks to invest in the media technology sector with a focus on artificial intelligence and machine learning tools for journalism; advertising technology, including new formats and fraud detection; technology to enrich reader and customer experiences; payment technologies and other customer platforms; tools or platforms allowing readers to act on content that inspires them; and new forms of content distribution, via audio and voice platforms or virtual, mixed and augmented reality models.Missing or empty |title= (help)
  16. "Guardian Media Group plc (GMG) results for the financial year ended 1 April 2018". The Guardian. 24 July 2018.
  17. "Our investments | Guardian Media Group PLC". Gmgplc.co.uk. Retrieved 2013-10-25.
  18. "The Scott Trust - The Guardian". the Guardian.
  19. "Guardian Media Group plc (GMG) announces full-year results for 2011/2012". the Guardian.
  20. "Can The Guardian Survive?". More Intelligent Life. Retrieved 2013-10-25.
  21. Viner, Katharine (12 November 2018). "The Guardian's reader funding model is working. It's inspiring". The Guardian. Retrieved 12 November 2018.
  22. Viner, Katharine (1 May 2019). "The Guardian breaks even against the odds: we couldn't have done this without you". The Guardian. Retrieved 1 May 2019.
  23. "GMG board". Guardian News and Media. 23 July 2015. Retrieved 28 January 2016.

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