Jagran Prakashan buy at Rs 129. Deutsche Bank initiates coverage with a ‘Buy’ rating on Jagran Prakashan and a target Price of 185. The Hindi print media leader Jagran Prakashan is well positioned to deliver a 25% CAGR in earnings over FY10-12E as a strong economy drives local and national advertising to the regional leaders. Deutsche Bank believes that the company is well placed to tackle emerging competitive pressures and newsprint costs. A 225-crore funding from Blackstone has put the group in an enviable position to fund its recently acquired Gujarati and Urdu language operations. The acquisition of Mid-day, an English language compact newspaper forms part of JPL’s initiative to identify growth avenues beyond the Hindi newsprint business. Mid-day owns two language publications Mid-day Gujarati and Urdu daily Inquilab. The strategic intent is to expand into new languages via an established brand rather than build a new brand like the group built its Hindi newsprint business. Downside risk includes increase in newsprint prices and increase in competition due to the entry of DB Corp in Uttar Pradesh.