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Alden Global Seeks to Buy Tribune Publishing


A hedge fund that owns a big stake in

#Tribune #Publishing #Co.

TPCO 0.31%

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is seeking to buy the newspaper chain behind titles including the #Chicago #Tribune and #New #York #Daily #News, according to people familiar with the matter.

#Alden #Global #Capital LLC, which is already #Tribune’s largest shareholder with a 32% stake, could disclose an offer for the company as soon as #Thursday, the people said. #Details of the potential bid couldn’t be learned.

#Tribune has a market value of roughly $470 million after a yearslong slide as the prospects for local newspapers dim. #Its shares are little changed this year and closed #Wednesday at $12.79.

A deal would have far-reaching implications for an industry beset by sharp declines in revenue over the past 20 years that have led to a wave of consolidation and cost cuts. #Between 2008 and 2019, the industry shed 51% of its newsroom jobs, according to the #Pew #Research #Center.

#Tribune #Publishing, one of the largest newspaper chains in the country by circulation, publishes nine larger-market daily papers, including the #Baltimore #Sun, #Orlando #Sentinel and #Hartford #Courant.

#Alden controls #MediaNews #Group, a private company that owns some 60 daily newspapers around the country, including the #Denver #Post, #San #Jose #Mercury #News and #Orange #County #Register. The hedge fund has a reputation for making deep cost cuts at titles it acquires.

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#In #July, #Alden cemented a firmer position on the #Tribune board, taking control of a third seat out of seven in exchange for an agreement to extend a standstill agreement that prevents the hedge fund from increasing its stake or making a hostile bid until after #June 2021.

#Consequently, any deal to increase the stake would likely need signoff from #Tribune or a significant portion of shareholders unaffiliated with #Alden. The company’s second-largest shareholder, with about 25%, is

#Patrick #Soon-Shiong,

a billionaire biotech investor who in 2018 bought the #Los #Angeles #Times from #Tribune for $500 million.

#With the industry reeling from the economic impact stemming from the coronavirus pandemic, #Tribune has laid off dozens of reporters and closed many of its newsrooms entirely to save on real-estate costs. #Earlier in #December, #Tribune agreed to sell its e-commerce business, #Best #Reviews, to

#Nexstar #Media #Group #Inc.

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for $160 million.

#Write to #Cara #Lombardo at [email protected], #Dana #Cimilluca at [email protected] and #Lukas I. #Alpert at [email protected]

#Copyright ©2020 #Dow #Jones & #Company, #Inc. #All #Rights #Reserved. 87990cbe856818d5eddac44c7b1cdeb8

#Appeared in the #December 31, 2020, print edition as ‘#Fund #Seeks to #Fully #Buy #Tribune #Chain.’



[ source link ]
https://www.wsj.com/articles/alden-global-seeks-to-buy-tribune-publishing-11609390571

##Alden ##Global ##Seeks ##Buy ##Tribune ##Publishing

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