Tribune Publishing — the publisher of the New York Daily News, the Chicago Tribune, the Baltimore Sun and a number of other papers — has agreed to be acquired by the hedge fund Alden Global Capital in a $630 million deal, the companies announced on Tuesday.
Under the agreement, Alden, which already owns about 32% of Tribune’s shares, will acquire the remaining shares it doesn’t already own for $17.25 per share. The Baltimore Sun will not be part of the acquisition and will instead be sold to Sunlight for All Institute, a nonprofit formed by Stewart Bainum Jr.
After the deal is closed, which is expected to happen in the second quarter of 2021, Tribune Publishing will become a privately held company.
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In a statement, Philip G. Franklin, the chairman of the Tribune Publishing board, said the agreement with Alden was “superior to the available alternatives” and was for “a premium, all-cash price.”
Still, the deal must be approved by the two-thirds of shareholders who own the remaining Tribune stock that Alden does not. One of the largest shareholders is Dr. Patrick Soon-Shiong, who purchased the Los Angeles Times and the San Diego Tribune from Tribune Publishing for $500 million in 2018 and has a roughly 25% stake in the publishing company.