Publishing consortium-backed digital magazine newsstand Next Issue Media has landed a $50 million equity investment from KKR.
Next Issue Media will use the money to invest in platform development and marketing efforts to grow its subscriber base.
The company’s on-demand, all-you-can eat pricing and access to a catalog of magazines has drawn comparisons to streaming video and music services like Netflix and Spotify.
A $9.95 monthly subscription provides access to 145 titles, mostly from the six publishers that back Next Issue—Time Inc., Condé Nast, Hearst, Meredith, News Corp. and Rogers Communications. A premium $14.99 monthly subscription adds in unlimited access to weekly magazines.
Next Issue Media launched in 2009, led at the time by John Squires, a former EVP at Time Inc. Current CEO Morgan Guenther joined in mid-2010.
The company has spent the last five years building its tech platform and slowly expanding its catalog of magazines. It began offering titles outside the consortium brands in late 2012.
The slow catalog growth has been intentional—NIM has been cherry-picking brands based on certain catalog gaps and mass-market appeal. "I don’t think you’re going to see us take the long-tail approach with 5,000 magazines," Guenther told Folio: in 2012. "It’s more about mass readers and how we can capture that group more effectively."