Essence Communications and Time Inc. announced the two companies reached an agreement over entering into a joint venture. Essence,
which publishes Essence
and Latina magazines, will be the majority owner. "We're very much interested in the globalization of the [Essence
] brand, and the entry of Essence into new businesses," company President and co-founder Clarence Smith said, adding, the deal will mean Essence
will be able to "enter other media platforms quicker." Time painted the deal as giving it greater access to markets it feels are "underserved." Both companies suggested that acquisitions and new launches could follow. No name was announced for the new venture, but Mr. Smith said it would be decided upon before the agreement is finalized July 30.
Copyright June 2000, Crain Communications Inc.