The Chicago Tribune reported Wednesday that its parent Company, newspaper conglomerate Tronc, is considering selling the Chicago Tribune as well all of its other newspaper holdings to a private equity firm. According to sources familiar with the matter, a bid of between USD 19 and USD 20 per share is currently being offered to buy out the Company. Shares of Tronc closed on Tuesday at USD 14.77, meaning the private equity firm is offering roughly a 33% premium per share, making an offer that can total upwards of USD 700 Million.
Tronc owns a number of daily newspapers, including the Baltimore Sun, Hartford Courant, Orlando Sentinel, South Florida’s Sun Sentinel, and the New York Daily News. Last month, Tronc decided to cut roughly 50% of its editorial staff in the New York Daily News in an attempt to bring down its costs.
Following reports that announced the possible buyout of Tronc by a private equity firm, shares of the Company shot up over 15%.
tronc, Inc. (NASDAQ:TRNC) is a media company rooted in award-winning journalism. Headquartered in Chicago, tronc operates newsrooms in ten markets with titles including the Chicago Tribune, New York Daily News,The Baltimore Sun, Orlando Sentinel, South Florida's Daily Press, and The Virginian-Pilot, The Morning Call of Lehigh Valley, Pennsylvania, and the Hartford Courant. Our legacy of brands has earned a combined 60 Pulitzer Prizes and is committed to informing, inspiring and engaging local communities.