New Media Investment Group Inc. (NYSE: NEWM) and Gannett Co. Inc. (NYSE: GCI) Monday announced that New Media will acquire Gannett for a combination of cash and stock. Gannett is the parent company of several Hoosier newspapers including The Indianapolis Star.
Gannett’s portfolio also includes the Evansville Courier & Press, the Lafayette Journal & Courier, the Palladium-Item in Richmond and the Star Press in Muncie.
The agreement merges the portfolios the two newspaper companies, and includes USA TODAY, Gannett’s flagship brand, and its more than 160 brands in the U.K., which will expand the USA TODAY NETWORK.
“We believe this transaction will create value for our shareholders, greater opportunities for our employees, and a stronger future for journalism. Gannett is an innovative, digitally-focused media and marketing solutions company with well-known brands worldwide. Uniting our talented employees and complementary portfolios will enable us to expand our comprehensive, hyperlocal coverage for consumers, deepen our product offering for local businesses, and accelerate our shift from print-centric to dynamic multimedia operations. We are honored to become a part of Gannett’s storied history and a steward of their strong media properties into the future. We are committed to delivering significant synergies in a thoughtful manner, consistent with our shared goals for the business,” said Michael Reed, New Media chairman and chief executive officer in a news release.