Penguin Random House, Simon & Schuster will not go through with $2.2B merger dealfoxbusiness.com/media/penguin-random-house-simon-schuster-will-not-go-through-2-2b-merger-deal
Book publisher Penguin Random House has scrapped plans to merge with competitor Simon & Schuster following a court's decision to block the $2.2 billion deal.
A judge ruled that Penguin Random House's bid to acquire Simon & Schuster was illegal because the merger would impact authors' pay.
The Justice Department had filed a lawsuit in November 2021 in the hopes of stopping the deal from going through.
Penguin Random House owner Bertelsmann initially said it would appeal the decision, but the German media group said in a statement Monday that it "will advance the growth of its global book publishing business without the previously planned merger of Penguin Random House and Simon & Schuster."
This comes after Bertelsmann failed to convince Simon & Schuster’s owner Paramount Global to extend their deal agreement and appeal the judge's decision.
Judge Florence Pan of the U.S. District Court for the District of Columbia ruled on October 31 that the Justice Department had proved the deal…