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Reader’s Digest suitor heads to the region

Jon Moulton, the veteran investor who has just saved the UK arm of Reader’s Digest, will be in the North East next month to share his story with local entrepreneurs.

Mr Moulton, who is renowned as Britain’s most high-profile and outspoken private equity boss, will appear at the Entrepreneurs’ Forum seventh annual conference in Gateshead on Thursday, May 20.

With 30 years’ experience of buying and selling companies, he gained notoriety after his audacious but ultimately unsuccessful bid to rescue the MG Rover car company when it was put up for sale by BMW in 2000.

Carole Beverley, chief executive of the Entrepreneurs’ Forum, said: “The buy-out of the Reader’s Digest from collapse was only finalised at the end of last week so this is a unique opportunity for business people in the region to hear Jon’s story first hand so soon after the deal was clinched.

“Many people will also remember the sale of MG Rover. To say Jon has a colourful history would be an understatement, so we are expecting a riveting presentation from him next month.”

It has been said the buy-out of Reader’s Digest UK by Mr Moulton’s Better Capital investment fund, will save the jobs of 117 employees who work in the group’s Swindon and Canary Wharf offices and wipe out its debts.

The American parent company, Reader’s Digest Association, had said it could no longer support the UK business but has agreed to allow it to continuing publishing under the Reader’s Digest brand through a licence agreement.

Reader’s Digest is the second investment by Better Capital, which was set up last year by Mr Moulton after he quit Alchemy Partners, the private equity firm he founded 13 years ago.

Better Capital, which was listed on the Alternative Investment Market in December raising £142m, bought the aerospace parts group Gardner Group from Carlyle, a private equity company, for £20m in February.

Originally from Stoke-on-Trent, the dealmaker has a reputation for backing his words with robust research and evidence.

Better Capital is the third private equity fund launched by the veteran investor, who has been described as “rich, restless and incredibly smart”.

After Permira came Alchemy which, under his leadership, invested £2bn of equity, more often than not with troubled companies.

He unexpectedly resigned in 2009 a year ahead of his planned retirement following a dispute over strategy.

Bookings are being taken now for the all-day conference – entitled SEVEN – which is being held at the Hilton Hotel.

This was posted in Bdaily's Members' News section by Ruth Mitchell .