UPDATE 1-Norway's Schibsted to halve investment spend in 2015

martes 18 de noviembre de 2014 12:20 GYT

* Keeps revenue outlook for online classifieds

* Shares close down 0.9 pct (Adds comments by Schibsted, core margin expectations)

OSLO Nov 18 (Reuters) - Norwegian publishing company Schibsted said on Tuesday it will halve its total investment spend next year compared with this year following a joint venture with South African rival in online classifieds Naspers.

The companies said last week they would team up in some emerging markets, including fast-growing Brazil where they have battled each other for years, sending up shares in both companies to record highs..

The joint venture, proclaimed as a game changer for the Norwegian company by analysts, will prompt the halving of investment spending, Shibstead said in a statement ahead of an investor presentation.

The firm, with a market value of $7.7 billion, had capital expenditures of 520 million crowns ($77 million) in 2013 and 475 million crowns in the first nine months this year, up from 317 million crowns in the same period a year ago.

"By coming together, the businesses would be able to share costs, expertise and people," Schibsted, which operates both newspapers in the Nordics and online classified sites in dozens of countries, said.

The firm kept its target for annual revenue growth of between 15 and 20 percent in online classifieds for the mid to long term, but expects slightly lower revenue growth this year.

It now sees core margin in its business for tabloid papers in Norway and Sweden in the range of 10 to 15 percent the next one to two years, compared with a margin of 15 percent in the last 12 months.

Core margin for subscription papers was seen between zero and 10 percent compared with 8 percent the last 12 months.

Schibsted shares closed down 0.9 percent. (1 US dollar = 6.7239 Norwegian krone) (Reporting by Stine Jacobsen; editing by Susan Thomas and Keiron Henderson)