Jason Taylor, previously president of New Media Ventures and GateHouse Live, the company's events business, will serve as president of events and promotions at the new company. Gatehouse, now called Gannett, has been operated by Fortress Investments, a New York private equity firm, in turn owned by Softbank, the diversified Japanese tech firm. This graphic by Pranav Gavali maps the overseas territories of various countries, using a variety of sources including WorldAtlas, Statista, and official country releases. For more information regarding New Media and to be added to its email distribution list, please visit www.newmediainv.com. New Medias purchase of Gannett, using a combination of cash and stock, was valued at approximately $1.1 billion as of Mondays market close, according to a regulatory filing with the Securities and Exchange Commission. Total pro forma leverage at closing of the Merger is expected to be approximately 3.5x LTM As Adjusted EBITDA, before run-rate synergies, and 2.3x including run-rate synergies. Mapped: The State of Democracy Around the World, Mapped: The Largest 15 U.S. Cities by GDP, Visualized: The Most (and Least) Expensive Cities to Live In, Mapped: The Population of Indias States Compared with Countries, Charted: 30 Years of Central Bank Gold Demand, Visualizing U.S. 2 In 2019, New Media Investment Group acquired rival publisher Gannett and merged the company with GateHouse to become the largest newspaper publisher in the United States. More than half of them (382) are owned by just seven companies. For the new Gannett, the key challenge will be offsetting continued print declines with digital revenue. Gannett on Wednesdaynamed a mix of leaders from the old Gannett and its acquirer, New Media Investment Group, to lead the media company. I suspect broad social media sites could lose a lot of steam in the future as more dedicated sites meeting the needs of people with similar interests will become more popular. The $1.4 billion equity value is based on 116.7 million outstanding shares as of June 30. Gannetts newly appointed Chief Executive Officer, Paul Bascobert, will become Chief Executive Officer of the combined companys operating subsidiary. The Erie Times-News, family-owned since its founding, is sold Kirk Davis, operating company CEO;[2] More than 90,000 servers in operation. Shares of Gannett closed up 2.6% at $11.04, while those of New Media Investment Group closed down 7.6% at $9.89. Timeline: Cannabis Legislation in the U.S. Visualizing the Relationship Between Cancer and Lifespan, Visualizing How COVID-19 Antiviral Pills and Vaccines Work at the Cellular Level, Global EV Production: BYD Surpasses Tesla. Shareholders cleared the way Thursday for New Media Investment Group and USA TODAY owner Gannett to join forces in adeal that willcreatethe largest U.S.media company by print circulation and one that will also vie for the biggestonline news audience nationwide. There are no current stakeholders of New Media Investment Group Inc cmn. Fortress is owned by SoftBank, a Japanese conglomerate. Copyright 2023 InfluenceWatch. Paul Bascobert will serve as CEO of the new company's operating subsidiary, Gannett Media Corp., as previously announced. As part of the combination, New Media Investment Groups operator, Fortress Investment Group,will continue to operate the combined company. Below is a look at the top 20 owners of Americas newspapers: Turnover in this segment of the market has been brisk. [6] It was renamed GateHouse and its headquarters moved to suburban Rochester, New York, in April 2006. It intends to operate newspaper, media directory and other media content businesses. 8 million customer contracts worldwide. Gannett Co. to be sold to New Media Investment Group - Milwaukee As outlets battle the duopoly of Google and Facebook for advertising revenue, the local news game has become increasingly difficult. But Apollo believes that the new Gannett can afford to pay the debt off on time or potentially early with no prepayment penalty, according to people with knowledge of the Apollo financing deal who spoke on the condition of anonymity because they were not authorized to speak publicly. On September 27, 2018, GateHouse Media announced the acquisition of The Oklahoman Media Company, parent company of The Oklahoman, which is the state's largest daily newspaper, for an undisclosed amount from The Anschutz Corp. When Bermuda was first discovered in the 1500s by the Spanish in the Caribbean, and then a century later by the English, there was no Indigenous population documented. Fortress owned 52% of GateHouse debt. External Management Agreement. New Media has been actively engaged in a director search and expects to announce two additional independent directors prior to closing. Vox Media recently inked a deal to acquire New York Media, the firm behind New York Magazine, Vulture, and The Cut. The companies will co-host a call to discuss the transaction and second quarter earnings on August 5, 2019 at 4:15 p.m. Eastern Time. Unlike others on this list, the Cook Islands in the South Pacific is not only self-governing but also runs its own foreign and defense policy and is in free association with New Zealand. Importantly, we have found in New Media a strong partner and cultural fit for Gannett as we continue delivering on a shared commitment to journalistic excellence for the communities we serve.. (212) 257-4170 New Media and Gannett share a commitment to rationalizing costs as the media industry evolves, while continuing to invest in product development, training for newsrooms and understanding readers needs. investors@gannett.com Investors may obtain additional information regarding the interest of such participants by reading the Registration Statement and the Joint Proxy Statement (once available). About - Concord [26], In October 2017, GateHouse acquired Edward A. Sherman Publishing Company, parent of The Newport Daily News. The details are causing a stir in London. "A lot of the focus in the early days will be on integration and cost savings, and the key to success will end up being how much of those cost savings are they able to ultimately plow back into the product itself and serving the local communities," saidSilberman, a former general manager of digital media at New York Media, the parent company of New York magazine. Index of US Mainstream Media Ownership - Harvard University As of early 2022, Gannett was seeking an early buyout of Fortress's outside management role. New Media Investment Group and Gannett finalized their merger Tuesday, putting top executives in position to move ahead with plans they believe will transform the new company's local and. 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. The proposed transaction will be submitted to New Medias stockholders and Gannetts stockholders for their consideration. New Media Investment Group (NYSE:NEWM) is focused primarily on investing in a diversified portfolio of local print and online media assets, and on growing existing advertising and digital marketing businesses. New Media will also grant the Manager approximately 3.2 million options with an exercise price of $15.50, a 45% premium to the closing price of New Media common stock on August 2, 2019. Sales, however, havent quite picked up as yet. New Media is focused primarily on investing in a high quality, diversified portfolio of local media assets, and on growing existing advertising and digital marketing businesses. We see numerous opportunities to leverage the combined companys enhanced scale and financial strength to continue to drive growth in the digital future. After the merger closes, expected by the second half of 2019, New Media will hold about 50.5% stake in the combined company, to be led by Reed. New Media, operating as Gatehouse Media, has also expanded its investigative reporting team. New Media Investment Group is a New York City-based private equity firm that is the parent company of Gannett Co., Inc., the largest newspaper publisher in the United States. Gannett, the Owner of USA Today, Is About to Get a Whole Lot Bigger. Others, like Amazon founder Jeff Bezos, bought publications as. New Media formed the Transaction Committee to review, evaluate, and negotiate the Merger and the Internalization (including the terms of the Amended Management Agreement). Before that, he spent four years at Bloomberg LP as President of Bloomberg Businessweek from 2010 until 2014, in addition to serving as Chief Operating Officer of the Media Group from 2011 to 2014. Ashley Higgins, New Media Investor Relations 1, Formed in 2013 to restructure GateHouse Medias $1.2 billion of debt chapter 11 bankruptcy, New Media Investment Group operated GateHouse Media as the then-largest newspaper publisher in terms of distinct publications. If shareholders give the thumbs-up during the vote this November, Gannett will have amassed the largest online audience of any American news provider. It now has a constitution, a parliament, and a governor who exercises power on behalf of the British head of state. [31] The Beacon Journal is a daily newspaper tracing its storied, Pulitzer Prize-winning history to 1839's Summit Beacon, which early in the 20th century came under the editorship and ownership of publisher Charles Landon Knight, serving as the flagship newspaper of the Knight Newspaper Company, later known as Knight Ridder.[32]. Eliminates certain payments otherwise due at or after the end of the term. There are a total of 73 overseas territories listed on the map spread across the world. (212) 479-3160 (703) 854-3168 This communication is neither an offer to sell, nor a solicitation of an offer to buy any securities, the solicitation of any vote or approval in any jurisdiction pursuant to or in connection with the proposed transaction or otherwise, nor shall there be any sale, issuance or transfer of securities in any jurisdiction in contravention of applicable law. The Merger is anticipated to result in run-rate cost synergies across the combined company of $275 - $300 million annually, unlocking meaningful shareholder value. Heres a brief look at some of the best known territories on the list: First colonized by Spain in the 16th century, the U.S. occupied the North Pacific islands in the aftermath of the SpanishAmerican war (along with Puerto Rico and the Philippines). Southern Kitchen, launched by Cox Media Group (CMG) in 2017, is a blend of e-commerce and content. This is normal when the security: Has been acquired or taken private Has merged with another entity Has changed its name and has a new CUSIP (and/or symbol) Has been delisted and the ticker has changed Please use Search to find the security you were looking for. the parties ability to consummate the proposed transaction and to meet expectations regarding the timing and completion of the proposed transaction; the satisfaction or waiver of the conditions to the completion of the proposed transaction, including the receipt of the required approval of New Medias stockholders and Gannetts stockholders with respect to the proposed transaction and the receipt of regulatory clearances required to consummate the proposed transaction, in each case, on the terms expected or on the anticipated schedule; the risk that the parties may be unable to achieve the anticipated benefits of the proposed transaction, including synergies and operating efficiencies, within the expected time-frames or at all; the risk that the committed financing necessary for the consummation of the proposed transaction is unavailable at the closing, and that any replacement financing may not be available on similar terms, or at all; the risk that the businesses will not be integrated successfully or that integration may be more difficult, time-consuming or costly than expected; the risk that operating costs, customer loss and business disruption (including, without limitation, difficulties in maintaining relationships with employees, customers, clients or suppliers) may be greater than expected following the proposed transaction; the retention of certain key employees; and. Accelerate digital strategy. The breadth and depth of each companys digital offerings will make the combined company a leading digital media player and a stronger partner for advertisers and SMBs. The combined group of business publications was rebranded as BridgeTower Media.[18]. New Media Investment Group Portfolio Investments, New Media Investment At the forefront of intellectual property valuation, acquisition and utilization, the Concord investment underscores the partners' belief in the lasting and appreciating global value of superior original creative content. Former colonies that would have been counted in the past include British India (which became India, Pakistan, and Bangladesh) and French Indochina (which became Cambodia, Laos, and Vietnam). These 15 Billionaires Own America's News Media Companies - Forbes Additional Information and Where to Find It. New Media is one of the largest publishers of locally based print and online media in the United States as measured by its 154 daily publications. Paul Ameden, CIO; 1:02 Shareholders cleared the way Thursday for New Media Investment Group and USA TODAY owner Gannett to join forces in a deal that will create the largest U.S. media company by print. With strategically-aligned leadership and significant scale of operations, the Merger will accelerate the combined companys digital transformation. You may obtain free copies of these documents using the sources indicated above. JPIMedia The Scotsman A group of impact organizations just formed the Dignified Jobs Collaborative, aimed at increasing investment in companies creating quality jobs for those living in extreme poverty in developing markets. While not ideal, the latter option at least provides a potential route to revenue and cost synergies that make it easier to compete in a challenging environment. The company was founded on June 18, 2013. He said the question from a subscriptionpoint of viewis whether those investments are enough to create "news that's worth paying for.". Twins Haley and Hanna Cavinder have been the face of name, image and likeness since its inception, and now they're charting a course for transitioning to a career in content creation. While New Media reported revenue of $404 million in its second quarter on Monday, Gannett had revenue of $660 million. It is expected that the dividend will be increased over time as synergies are realized and leverage is reduced. Bonus Gift: Celebrating the Best of the VC+ Archive, More U.S. Tech Companies are Adopting Unequal Dual-Class Voting Structures, How Gen Z Feels About Its Financial Future, Interested in an overview of who leads countries around the world? Gannett Co., Inc. owns USA Today and over 250 dailies. Faced with problems, it downsized to 270 by June 2005. 20 21 Reed was GateHouse CEO prior to the companys acquisition by New Media Investment Group. "I think $300 million is a low number" for the cost cuts,Newsonomics media analyst Ken Doctor said. The company, which also owns local papers ranging from the Detroit Free Press to the El Paso Times, missed second-quarter revenue on Monday. San Francisco Bay Area, Silicon Valley), Operating Status of Organization e.g. How Many Music Streams Does it Take to Earn a Dollar? But by most official designations of territories, the UK and France are tied with 17 overseas territories. Another highlight is that the majority of these regions are islands located quite a distance from their parent countries. Under the terms of the Merger Agreement, shareholders of Gannett will receive $6.25 in cash and 0.5427 of a New Media share for each Gannett share they hold, representing total consideration of $12.06 per Gannett common share based on New Medias closing stock price as of August 2, 2019, and a premium of approximately 18% to the five-day volume-weighted average price of Gannett shares as of that date. Though the numbers have decreased in recent years, regional news media still reaches millions of people each day. After the close of the transaction, Gannett shareholders will hold approximately 49.5% of the combined company and New Media shareholders will hold approximately 50.5%. [9], By 2013, GateHouse Media grew, operating in 330 markets across 21 states, but they found themselves in a debt situation that would prohibit future growth. Website http://www.mediainvestmentgroup.com Industries Investment. [21] In December 2015, GateHouse sold the Las Vegas Review-Journal, the Stephens group's largest paper, to casino magnate Sheldon Adelson for $140 million. New Media Investment Group, Inc. is a development stage company. The Term Loan will be freely pre-payable without penalty, and the combined company is expected to have a strong cash-flow profile that will permit aggressive deleveraging. Cautionary Statement Regarding Forward-Looking Statements. Earlier this year, Gannett fended off newspaper chain MNG Enterprises's MNGE.PK efforts to put its nominees on its board, after it rejected MNG's $1.36 billion hostile takeover bid. Reporting by Vibhuti Sharma in Bengaluru; Editing by Shinjini Ganguli. You see too many of these things done for financial engineering. [30], On April 10, 2018, GateHouse announced that it had agreed to acquire the Akron Beacon Journal of Akron, Ohio for $16 million from Black Press Group. This list of top 100 news sites was compiled using the following criteria: The top digital-native news outlets by monthly unique visitors (Pew Research and ComScore, excluding sports) Or The new Gannett aimsto cut $275 million to $300 million in costs per year within 18 to 24 months in a variety of areas, including facilities, corporate functions and newsoperations. Meanwhile, Vice recently acquired Refinery29 for $400 million, giving it access to a new audience skewed towards millennial women. Concurrent with the entry into the Merger Agreement, New Media and the Manager have agreed to amend the Management and Advisory Agreement dated as of March 6, 2015 (such amendment, the Amended Management Agreement), pursuant to which the Manager provides a management team (including the Chief Executive Officer) and other professionals who provide services to New Media. Alexas top sites under the category of news (U.S. only, excluding user-generated). Who Owns Newsmax? (The Ultimate Guide 2023) Christopher Ruddy became the CEO of the company and decided to take it in a new direction. New Media and Gannett share a strategic vision, and the combined companys significantly enhanced scale of operations will enable it to realize this vision more rapidly, while generating value for shareholders and benefits for employees and other stakeholders. Investors: ", Warning to Congress: Powell: USdebt is 'on unsustainable path', Walmart's Black Friday:Store releases ad with $129 Apple Watch, TV deals. [20] In February 2015, GateHouse purchased Stephens Media, which published newspapers mainly in Arkansas and Nevada, for $102.8 million. In fact, more than half of existing newspapers have changed ownership in the past 15 years, some multiple times. The New Media Transaction Committee separately, and unanimously, approved the Amended Management Agreement. USA TODAY owner Gannett acquired by GateHouse Media owner The Company combines organic growth with value-generating synergetic acquisitions, which has demonstrated continuous strong profitable growth with a revenue . Arthur said he believes the combined company's revenue projections are "way too optimistic" due to the continued demise of print. 6 7 Reed has faced criticisms in the past from the NewsGuild, an affiliate of the left-wing Communications Workers of America labor union, for purchasing newspapers, consolidating editorial practices, and reducing jobs to increase profits. Mike Reed - Chairman / CEO - Gannett | USA TODAY NETWORK - LinkedIn 15 facilities in 9 countries around the globe. Gannett's current CEO, Bascobert, will retain that title as head of the new company's operating subsidiary, also to be called Gannett. Under terms of the deal, Apollo has the right to appoint two observers to the company's board and could appoint one or two voting directors if the company's debt exceeds its earnings by too great of a margin. The Merger is expected to close by the end of 2019, subject to the satisfaction of customary closing conditions, including receipt of regulatory clearances and approval by the shareholders of each company. As of June 30, 2019, New Media operates in over 600 markets across 39 states reaching over 21 million people on a weekly basis and serves over 200,000 business customers. New Media Investment Group to Acquire Gannett Two Leading Media and Marketing Solutions Companies Align to Preserve and Enhance Quality Journalism Creates the leading U.S. print and. For example, the U.S. territory of Puerto Rico has 3 million people, and its own constitution and elected government, while another U.S. territory of Johnston Atoll is tiny and entirely uninhabited. Sam Levenson "Youll definitely get some economies of scale" and "a lot of savings in the corporate offices" and printing sites, he said. Growing a successful business on social media requires a combination of authenticity, passion, consistency, engagement and creativity. The layoffs will primarily affect management positions. Please visit the Investor Relations section of either companys website (www.newmediainv.com or www.gannett.com). All Rights Reserved. The planned bankruptcy centered on restructuring the Fortress News Corp deal. 2. Ed Trissel / Tim Ragones / Tanner Kaufman [15] They also acquired Dolan Media Group[16] and Journal Multimedia,[17] adding business publications to their portfolio. Nov 2019 - Present3 years 6 months. GateHouse Media - Wikipedia I think youre going to see that trend [of consolidation] across the industry. All quotes delayed a minimum of 15 minutes. Powell: USdebt is 'on unsustainable path', Store releases ad with $129 Apple Watch, TV deals, In the third quarter, Gannett's digital subscriptions rose 27% to 607,000, Your California Privacy Rights/Privacy Policy. The new Gannett has more than 250 daily publications, including USA TODAY, as well as several hundred weeklies and an array of digital marketing services. The actual results, liquidity and financial condition may differ from the anticipated results, liquidity and financial condition indicated in these forward-looking statements. Bascobert said they sought to "create a careful balance between the two organizations" with a goal of ensuring people are on the same page culturally and strategically. Todays graphic, created by TitleMax, is a broad look at who owns U.S. news media outlets. Though the numbers have decreased in recent years, regional news media still reaches millions of people each day. To finance the deal, New Media is borrowing $1.8 billion from private equity firm. One of the furthest is New Caledonia, a French territory around 17,000 km away from European France. As a result, we will accelerate the growth of the combined companys digital revenue through innovative customer experiences and new marketing solutions for businesses, while creating an expansive journalism network with the resources required to deliver unique and award-winning content. Who owns the media in the us Updated in 2022 - Owners Guide for All Michael E. Reed is the president and CEO of New Media Investment Group.