Today’s ‘Rzeczpospolita’ daily wrote that Axel Springer is going to turn its attention from Poland as its main expansion area, cutting promotional support for newly launched ‘Dziennik’ and selling a couple of its Polish magazines, to France, where it is planning to launch a clone of its successful ‘Bild’ tabloid very soon.
Our view: Although we cannot tell, whether the news is credible, we would expect some positive market reaction on the news, which suggest the end of the trench war among ‘Gazeta’ and ‘Dziennik’ and cutting by both companies the excessive promotional spending levels. We reiterate our Buy rating for Agora.