DirectGroup Bertelsmann has purchased the 50% share of Bookspan that had been owned by Time Inc. Bookspan was formed in 2000 as a partnership between the two companies. The terms of the transaction were not disclosed.

Bookspan operates 40 book clubs within the United States, including Doubleday Book Club, Literary Guild, Book-of-the-Month Club, and a variety of lifestyle and special interest clubs. The clubs boast nearly 8 million members in total.

DirectGroup Bertelsmann will incorporate Bookspan into BMG Columbia House, which markets music and DVDs to consumers throughout North America. BMG Columbia House's brands include BMG Music Service and Columbia House DVD club. Stuart Goldfarb, the president and CEO of BMG Columbia House, will lead the combined entity.

"This investment underscores our belief that direct marketing is a distribution channel with great potential for future growth because it meets consumers' desires for selection, service and value," said Ewald Walgenbach, CEO of DirectGroup Bertelsmann, in a statement. "Combining Bookspan's book clubs with our successfully integrated music and DVD club business follows our proven strategy of creating new growth opportunities and operational efficiencies through the combination of complementary businesses."