Argus invests in Polish Media

Argus Capital Group, a private equity division within THe Prudential Insurance Company of America, has committed more than $6m to DD Publishing, a holding company based in Luxembourg.

The capital raised will be used to buy Dzien dobry, a Polish free newspaper from DD Media. The paper first hit the streets in September 2000 and today is distributed to around 47 per cent of the households in Warsaw.

Although Poland’s advertising sector experienced a slowdown in 2001, the newspaper continues to grow, said Ali Artunkal, managing director of the Argus Capital Group. Consequently the money raised will also be used to launch the newspaper in a number of other cities in Poland, he said.

Maciej Jankowski, president of DD Media believes there is a demand from advertisers for a newspaper that reaches almost half of Warsaw’s households and that as the paper’s circulation grows, more of Poland’s urban populations with disposable incomes can be targeted.

Argus Capital Group made the investment through its Argus Capital Partners I fund, which has raised $172m. To date, $95.6m has been committed to nine Central European businesses in a number of industries including food services and telecommunications.

The group is a division of Pricoa Capital Group, which is part of the global private equity arm of Prudential Investment Management (PIM), the $300bn asset management division of The Prudential Insurance Company of America.