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Bailey McCann, Opalesque New York: Hedge fund firm Alden Global Capital is making a push to acquire Tribune Publishing in a $520 million deal. The hedge fund is already a significant shareholder in Tribune with a 32% stake in the company.
According to an SEC filing, Alden is offering $14.25 per share, valuing Tribune at approximately $520 million.
Alden already has three seats on the Tribune board. The hedge fund is known for its aggressive restructuring of the news businesses it acquires leaving very little staff or new coverage in its wake. Alden has already offered buyouts to reporters at a number of Tribune papers. Alden's track record suggests this is only the beginning of layoffs if the deal is approved.
If the firm is successful, there will be very few localities left with news coverage that does not fall under the Alden footprint. The hedge fund also owns some broadcast news and radio stations as well.
According to Axios, Tribune Publishing has made some efforts to cut costs as pressure mounts. The publisher terminated several office leases this year and has implemented other cost cutting measures. Alden's significant board presence has created an Alden-like management strategy even though the hedge fund is not yet a full owner of the business.
As of the time of this writing, Tribune Publishing had not yet r...................... To view our full article Click here
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