Hearst Corp., publisher of Good Housekeeping and
Esquire, is close to becoming a part owner of Talk, the new
magazine being developed by Miramax Films and former New Yorker
editor Tina Brown, according to sources familiar with the
negotiations.
Talk's fall debut should generate enormous public interest given
the celebrity of its founders. Hearst would provide expertise in
publishing and distributing magazines, in addition to financial
backing.
Hearst's board is considering the proposal and a deal could be
announced within a week, the sources said Thursday, speaking on
condition of anonymity. It was unclear how big Hearst's ownership
stake might be, and the deal could still possibly fall through.
Spokesmen for Miramax and Hearst in New York both declined
comment.
Miramax, the studio behind the Scream films and The
English Patient, is owned by Walt Disney Co., which already has
several ventures with Hearst. The publisher owns stakes in Disney's
ESPN cable sports network and magazine, and the two companies
co-own the Lifetime and A&E; cable networks.
A union with Hearst would give Talk access to Hearst's huge
database of subscribers and the benefit of its long-standing
relationships with advertisers and newsstands.
For its part, Hearst would gain a stake in a celebrity-filled
general interest magazine to compete with the likes of Vanity Fair,
another magazine formerly edited by Brown and published by rival
Conde Nast Publications.
Hearst already has a strong collection of special-interest
magazines such as Cosmopolitan, Popular Mechanics, Redbook, Town &
Country and SmartMoney.
Plans to launch Talk magazine were announced in July, when Brown
stepped down as editor of The New Yorker after a controversial
six-year tenure. While critics complained that she drowned the
venerable literary magazine in glitz, The New Yorker's circulation
grew under Brown's stewardship.
Vogue publisher Ronald Galotti also left Conde Nast both
magazines' parent company to join Brown and Miramax in the
venture. The new company, Talk Media, includes book publishing and
TV production operations in addition to the magazine.
Hearst is the nation's third-largest magazine publisher behind
Time Inc. and Conde Nast. The privately held company also has
interests in book and newspaper publishing, broadcasting and
Internet ventures.
In a separate deal announced Thursday, Hearst is teaming with a
company called Women.com Networks to create an online women's
network. The network will combine the Women.com and HomeArts.com
sites with links to the sites of 11 women's magazines owned by
Hearst.
Hearst will own half of the venture and promote the network
through its magazine and television properties. Terms of the deal
weren't disclosed.