It's still a hot market for mergers and acquisitions in publishing today, especially for companies that have picked out profitable niches and built strong relationships with their audiences. But it's clear that the deals of 2005 are not the deals of 2006. Where last year portfolios were being trimmed and fattened left and right this year is seeing aggressive multiples rewarded only to those companies that have defined diverse paths to profits that will fit in with increasingly sophisticated and demanding audiences. Getting 12x cash flow is not unheard of these days, but be prepared to be examined carefully for how your products and services deliver on many levels.

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