IFG Sells Hotdog to Paragon

I Feel Good Holdings (IFG) has sold its film magazine, Hotdog, the creation of ex-Loaded and FHM editor and IFG CEO James Brown, to Paragon Publishing. Brown explained: “We are a young publishing company and unfortunately cannot afford to maintain non profitable publications.”

Hotdog was launched in May 2000 as the first title from the newly established magazine company. At the time the company was already valued at £5m following its flotation on the stock market (see Interview: Anna Hyde, Ad Director and Adam Porter, Online Editorial Guru: I Feel Good). Hotdog recorded an initial audited circulation for Jan-Dec 2000 of just under 40,000 and is said to have generated over £1m in advertising revenue since launch, but has not achieved expected profit targets.

The move to sell comes as the IFG board refocuses following the appointment of Tom Gleeson as managing director in June last year and the purchase of Viz publishers JBP Holdings Limited (see I Feel Good Makes Bid For Viz Publishers). The company says it will now focus on developing its general interest men’s lifestyle magazine portfolio, including Viz, Bizarre and new launch ‘Project Jack’, due to appear this Spring.

Hotdog will be sold for £415,000 plus a profit share based on Paragon’s profits from the title over the next four years. Up to £245,000 will be paid in cash, while the remaining £170,000 will come in the form of free advertising by IFG in Paragon’s titles during the coming year.

IFG: 020 7687 7000 www.ifgmags.com Paragon Publishing: 01202 299900 www.paragon.co.uk

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