Investment group sells Czech hyperlocal news project

This article was migrated from an old version of our website in 2025. As a result, it might have some low-quality images or non-functioning links - if there's any issues you'd like to see fixed, get in touch with us at info@journalism.co.uk.

European financial and investment group PPF Group has sold off its pioneering "hyperlocal" news project. The Nase Adresa initiative, which means "our address" in English, launched in spring 2009 with a print newspaper and plans for 150 hyperlocal editions produced in 90 newscafes across the country. The project began with seven pilot editions, four newscafes and an €8 million (£6.65 million) investment, plus support from publishing software company Atex and Google. According to reports, around 90 staff were hired and training took place at the recently developed Futuroom complex in Prague.

But in a press release PPF says it will not continue with the project following the sale of its company PPF Media to a private investor, Richard Benysek.

"After a thoroughful analysis of the pilot phase of the project, PPF Group has evaluated the project of hyperlocal media in several Czech regions and has decided not to continue with the project. The PPF's decision to sell the company is based primarily on its non-compliance with PPF's new investment standards/rules, which reflect the Group's shift towards larger, consistent investments with a minimum amount of €100 million," says PPF in the release.

"The pilot media project has not even met the commercial/business parameters of return of investment, which PPF has been implementing on its projects."

Alexej Bechtin, spokesperson for PPF Group, told Journalism.co.uk that the company could not comment on the future of the Nase Adresa scheme under its new ownership. At the World Association of Newspapers (WAN-IFRA) congress last year, the project's director for PPF Roman Gallo projected big things for the future of Nase Andresa, which he predicted would be the biggest media in the Czech Republic by the end of 2010.

Speaking in the release Evzhen Hart, PPF executive committee member and chairman of the board, PPF Media: "This is a duty for all investors to create value and to increase the value of money invested. PPF is very demanding to itself in this respect, implementing strict investment rules and standards for all its projects. Today we are leaving smaller projects, focusing on larger stakes.

"PPF Media Team has embarked on a new project with incredible energy. The network of regional weeklies, websites and cafés became unique in the Czech Republic and was even often copied by other media entrepreneurs. I would like to say thank you to all top professionals from the media, which have been gathered around the project by its leader, Roman Gallo."