Merger Creates New Empire
On Monday, the Pearson and Bertelsmann media companies announced that two publishing giants, Penguin and Random House, had finally merged under the name Penguin Random House creating the largest publisher of consumer books in the world.
Former Penguin CEO John Makinson, and former Random House chairman and CEO Markus Dohle are to serve as chairman and CEO of the new company, respectively.
The merger comes as good news in the wake of Random House’s decision to cancel its contract with the popular Southern TV personality, cook and author, Paul Deen, who is being sued for racial offenses against employees.
A deal between the two publishing houses though has been in the works since October. The parent companies have been searching for a way to save their publishing enterprises in a time when consumer online book consumption has increased and Amazon’s has become dictatorial in setting terms for publishers.
Penguin Random House boasts more than 70 Nobel Prize winning authors and plans to offer more than 15,000 new titles every year.
The new name is not well-loved by all though. Many have expressed that a shorter and less wordy name, such as Random Penguin, should have been chosen.