New York: Time Warner has said it planned to spin off its publishing unit, Time Inc., into an independent, publicly-traded company.
"After a thorough review of options, we believe that a separation will better position both Time Warner and Time Inc.," Time Warner' s Chair and Chief Executive Officer Jeff Bewkes said in a statement Wednesday.
Bewkes said the complete spin-off will benefit both. It would provide "strategic clarity" for Time Warner by enabling it to focus entirely on its television networks, film and TV production businesses, and improving its growth profile.
"Time Inc. will also benefit from the flexibility and focus of being a stand-alone public company and be able to attract a more natural stockholder base", Bewkes noted.
Media reports citing sources familiar with the matter said Time Warner had been negotiating with Iowa-based publisher Meredith Corp. for months to divest some of Time Inc.' s magazines to Meredith.
Time Warner has conducted several spin-offs in recent years, including Time Warner Cable and AOL (America Online) in 2009.
Time Inc. publishes over 100 magazines, most notably Time, as well as Sports Illustrated, Fortune and People, among others.