The Chernin Group, Peter Chernin's private-equity firm, is investing in Entangled Publishing, a burgeoning romance-fantasy book publisher. This deal values Entangled at roughly $400 million, with the Chernin Group acquiring a minority stake while Entangled CEO Liz Pelletier retains majority ownership and continues to lead the company. Entangled is widely recognized for publishing Rebecca Yarros's viral "Fourth Wing" series.
This investment highlights a growing trend of private equity interest in the publishing industry, drawing parallels to the recent wave of deals in the music sector. Entangled's Red Tower Books imprint has seen significant success, with 75% of its titles selling over 100,000 print copies, demonstrating the strong market for "romantasy" literature. Pelletier anticipates that the Chernin Group will help expand the company's reach into areas like live events, consumer products, and gaming, treating each book as a "world that our readers want to explore in various different formats."
The investment comes as the publishing industry, particularly in the romance and fantasy genres, has shown resilience against broader challenges of stagnant sales. The Chernin Group, known for previous investments in companies like Barstool Sports and Oura, aims to leverage its expertise to scale Entangled's existing success. Amazon.com is also developing a "Fourth Wing" television series, further underscoring the franchise's potential for multi-platform expansion. The deal underscores a shift where substantial investment is increasingly targeting content creators with strong fan engagement and multi-platform potential.
