Hachette Book Group calls off deal to buy Perseus

Published on NewsOK Modified: August 7, 2014 at 7:23 pm •  Published: August 7, 2014
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NEW YORK (AP) — Hachette Book Group said Thursday it has scrapped its proposed three-way deal that would have had it buying the publishing division of the Perseus Book Group, while selling Perseus' client-service business to leading distributor Ingram Content Group.

Hachette said the deal was scuttled after the three sides failed to resolve all the issues needed to complete the complex transaction. The three had jointly announced the deal in June.

Hachette, whose authors include James Patterson, J.K. Rowling and Malcolm Gladwell, has been in contentious negotiations with Amazon.com, which has slowed shipments, reduced discounts and removed pre-order buttons for numerous Hachette releases.

Hachette's acquisition of Perseus could have increased its bargaining position with Amazon, which is reportedly seeking a larger cut of e-book sales and numerous other changes in contract terms. Perseus has a wide range of nonfiction imprints and has partnerships with The Daily Beast and The Weinstein Company, among others. Its books have included H.G. Bissinger's "Friday Night Lights" and Samantha Power's Pulitzer Prize-winning "A Problem from Hell."