Oliver Clarke, chairman and managing director of The Gleaner Company, made the disclosure yesterday, minutes after signing the deal with Carl Carby, executive chairman of Jabulani Holdings Limited.

Clarke said the decision to dispose of the 100 per cent shareholding in Sangster's Book Stores followed a strategic review by the parent company.

"The board of directors and management of The Gleaner Company have decided to focus their efforts on improving the core media business, shore up liquidity and open up to the possibilities of new ventures," Clarke explained.

"Sangster's and its employees have been a treasured part of The Gleaner family since 1984, and this is truly a bittersweet time for us ... . The value of the transaction is testimony to the strength of the business and I have every confidence that Sangster's will continue to perform well," the newspaper's chairman said.

Clarke expressed confidence that the 61-year-old entity, which stocks more than 54,000 various educational items, had been placed in good hands.

"The company will be in good hands and will benefit from the natural synergies existing between itself and Carlong Publishers Caribbean Limited," Clarke asserted.

Great complement

Managing director of Carlong Publishers and co-owner of Jublani Holdings Limited, Shirley Carby, agreed.

"The acquisition of Sangster's will greatly complement the activities of Carlong Publishers (Caribbean) Limited," she said.

"The addition of the retail network with a capable team dedicated to excellence in customer service will no doubt generate value for all stakeholders in this venture. I am truly excited about this new chapter and the possibility it offers for the development of the Jamaica book industry."

The handover exercise is scheduled to take place on January 4, 2010.

Clarke disclosed that after investing heavily in the book business over the last 25 years, The Gleaner Company now plans to redirect much of its resources into the group to finance expansion of new projects in its core functions.

For his part, Rudolph Speid, managing director of Sangster's, said the achievements of the company, in recent years, serve as testimony to the dedication and professionalism of the staff.

"I will truly miss the team, but I am encouraged that the great work will continue under the new leadership," he said.