Des Moines-based Meredith Corp. announced Sunday that it has entered into a binding agreement to acquire all the outstanding shares of Time Inc., in an all-cash deal valued at $2.8 billion. 

“We are creating a premier media company serving nearly 200 million American consumers across industry-leading digital, television, print, video, mobile and social platforms positioned for growth,” said Meredith Chairman and CEO Stephen Lacy. 

The transaction will create a diversified media and marketing company with calendar 2016 combined revenues of $4.8 billion — including $2.7 billion of total advertising revenues with nearly $700 million of digital advertising revenues, Meredith said in a release.

“This is a transformative transaction for Meredith Corporation, and follows a fiscal 2017 in which we posted the highest revenues, profit and earnings per share in our 115-year history,” Tom Harty, Meredith’s president and chief operating officer, said in the release. 

Time Inc., which Time Warner spun off in 2014, has struggled to articulate a business strategy less focused on print products. The company, whose titles include Time, Sports Illustrated and People, reported a 9 percent drop in total revenue in its most recent quarter compared with the same period last year, and a 12 percent decrease in advertising revenue.

Meredith has secured a total of $3.55 billion — which includes a $350 million undrawn revolving credit facility — in debt financing for the acquisition. 

The transaction, expected to close in the first quarter, was made possible in part by an infusion of $650 million from the private equity arm of Charles G. and David H. Koch, the billionaire brothers known for using their wealth and political connections to advance conservative causes, The New York Times reported. Meredith stated that Koch Equity Development will not have a seat on the Meredith board and will have no influence on Meredith’s editorial or managerial operations. 

Meredith attempted to acquire Time Inc. in 2013, but the deal fell apart. Meredith reportedly said that it did not want to acquire some of the publisher’s best-known titles, including Time, Fortune and Sports Illustrated. Meredith also expressed interest in buying Time Inc. earlier this year before it walked away, in part because it could not secure sufficient financing. The Kochs helped the company overcome that problem.

Under the terms of the agreement, Meredith will commence a tender offer to acquire all the issued and outstanding shares of Time Inc. common stock for $18.50 per share in cash. Subject to regulatory approval, the transaction is expected to close in the first quarter of 2018.