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Time Inc., the owner of People, Time and Sports Illustrated, said Thursday that it had sold Grupo Editorial Expansión, Mexico's second-largest magazine publisher, to the Latin-American private equity firm Southern Cross Group.
Terms of the deal were not disclosed.
When Time Inc. bought Grupo in 2005 for an estimated $60 million, then-Time Inc. CEO Ann Moore called "international expansion a key element of our growth strategy." She added, "This represents an exceptional opportunity to establish Time Inc. as a major presence in the dynamic Mexican magazine market."
Time Inc. said Grupo represented 2% of its combined revenue last year.
The announcement comes after Time Inc. began trading publicly on the New York Stock Exchange earlier this month, when Time Warner spun off the underperforming publishing company.
"Time Inc.'s prime focus today is on growing core assets in the U.S. and U.K.," Time Inc. CEO Joe Ripp said in a statement. "Therefore, we believe GEx will have better opportunity to maximize its value under the ownership of Southern Cross."
Founded in 1966, Grupo publishes 16 magazines and 10 websites in Mexico. The company will continue to license Time Inc. and Time Warner brands, including CNNMexico, InStyle and Travel & Leisure, according to Time Inc.
Time Warner made Time Inc. pay $800 million for IPC Media, its U.K. magazine company, during the spin-off.