Scholastic to Buy Publisher Grolier

Scholastic Corp., the U.S. publisher of the Harry Potter series of children’s books, agreed to buy publisher and children’s book-club operator Grolier Inc. from France’s Lagardere for $400 million in cash. Danbury, Conn.-based Grolier, with $450 million in 1999 revenue, is the top seller of children’s books and reference books to school libraries. Its Internet site sells books primarily for children under 5. New York-based Scholastic sells primarily to children ages 6 to 12. The acquisition is expected to close in early June. Lagardere, a French media and aerospace company, has said it is selling Grolier to concentrate on its defense contracting and digital-television production businesses. Scholastic shares closed up 3 cents at $47.16 on Nasdaq, before the deal was announced.