Patrick Soon-Shiong will retain majority ownership of the Los Angeles Times in his planned public sale, which will be limited to $75 million after the paper is combined with some of his other media ventures, the Times reported Tuesday.
The billionaire owner will roll the paper into the newly created L.A. Times Next Network, shares of which will be offered through Regulation A financing. That structure gives private companies the ability to sell shares – capped at $75 million – to investors without the regulatory requirements of a standard IPO.
Soon-Shiong, who bought the Times in 2018, said Monday during an interview with comedian Jon Stewart on Comedy Central’s “The Daily Show” that he would take the company public, but did not elaborate on the unique nature of his plans.
The company announced the details in a Tuesday press release to itself.
L.A. Times Next Network will include the Los Angeles Times, curated creator platform LAT Next, esports and gaming-focused Nant Games, NantStudios Virtual Production and streaming and live-event support company L.A. Times Studios. Laguna Beach-based investment bank Digital Offering was hired to handle the sale.
“My family bought the L.A. Times to ensure a voice for the community and now we have a path to return it to the people,” Soon-Shiong said in a statement to the paper he owns. “With this opportunity, readers, community members, everyone will be the media: direct democracy in action.”
He told Stewart that the public stock offering would be completed within a year.
The Times lost $50 million in 2024, according to Adweek, and staff have been rocked by several recent crises. Dozens of editorial and operations employees were let go this year even after some 40 newsroom employees accepted buyouts, and the paper lost at least 25,000 subscribers in the weeks after Soon-Shiong canceled a planned endorsement of Kamala Harris.
