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CHICAGO (AFX) - Media and entertainment stocks closed mixed Wednesday, with Gemstar-TV Guide International Inc. among the gainers.
New York-based Gemstar said Wednesday that sales of its full-size revamp of TV Guide magazine over-delivered the rate base given to advertisers by more than 50% during its first 11 weeks in circulation, sending shares soaring.
The magazine had promised an advertising rate base of 3.2 million copies. Based on preliminary circulation data, the first 11 issues of the 8 1/2- by-11 inch size TV Guide posted an average circulation of 4.9 million, excluding most sponsored sales.
The stock rose 39 cents, or 14.3%, to close at $3.12.
Elsewhere, newspaper publisher Knight Ridder was up modestly at $64.25 after the Los Angeles Times reported that three private equity firms have joined the bidding for the company.
Bain Capital and Hellman & Friedman have joined with Thomas H. Lee Partners and Texas Pacific Group, while Vestar Capital Partners has joined forces with Madison Dearborn Partners, the report said.
In response to pressure from two of its largest institutional shareholders, Knight Ridder put itself up for sale Nov. 14.
Private Capital Management, a unit of Legg Mason, owns about 19% of Knight Ridder, and Harris Associates owns 8.2%. Both firms had pushed for a sale.
Before PCM made its demands known Nov. 1, Knight Ridder shares had plunged 20% over the course of 2005.
Among diversified entertainment conglomerates, Walt Disney Co. , Time Warner and Sony were higher, while Viacom edged lower. This story was supplied by MarketWatch. For further information see
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