Act III Reportedly Seeking Suitor for Publishing Arm

Act III Communications has contracted with the New York investment bank Veronis, Suhler & Associates to find a buyer for Act III Publishing, according to industry sources.

Act III Publishing, which owns 10 trade magazines, two newsletters and three directories, is losing millions of dollars annually, according to publishing industry executives. The trade magazines are principally in the television and communications field, and titles include Channels, Marketing & Media Decisions, and Mix.

The company declined to comment. Veronis Suhler did not return phone calls.

Magazine industry executives said Act III Communications, which is based in Los Angeles, has held talks with a number of people during the past couple of months about buying the magazine group or individual titles.

Sources said Act III has held discussions with Boston-based Affiliates Publications Inc., which also owns the trade magazines Billboard and the Hollywood Reporter, but the parties have been unable to agree upon a price.

Act III Chairman Norman Lear recently decided to concentrate on writing and producing TV programs and is said to want to focus on a new series he is preparing for CBS titled “Sunday Dinner.”

A couple of months ago, he dismissed several Act III corporate executives, including the head of the publishing division, and is being advised on how he might sell or scale back his investment in the company. Act III’s media holdings include TV stations, movie theaters and publishing.