Tribune Publishing Company Announces Sale of BestReviews LLC to Nexstar Inc. for $160 Million
17 December 2020 - 8:01AM
Tribune Publishing Company (NASDAQ:TPCO) today announced that after
a comprehensive sales process Tribune and BR Holding Company,
Inc. have entered into a definitive agreement to sell 100% of
BestReviews LLC to Nexstar Inc., a wholly-owned subsidiary of
Nexstar Media Group, Inc. (NASDAQ: NXST), for $160 million in cash.
BestReviews LLC is owned 60% by Tribune and 40% by its founders, BR
Holding Company, Inc.
“We are pleased that through our majority ownership
of BestReviews we have created substantial
value for the BestReviews business and Tribune Publishing
shareholders. While Tribune Publishing will not have an
ongoing ownership interest, we look forward to a continuing
commercial relationship with BestReviews as a partner in
content and commerce,” said Terry Jimenez, CEO of Tribune
Publishing Company and Chairman of BestReviews. “This
transaction provides a strong return on the investment that Tribune
Publishing made less than three years ago and is enabled by a great
team at BestReviews and the broader Tribune Publishing
network of assets. This cash return strengthens our already robust
balance sheet and provides financial and operational flexibility.
We intend to provide a clear capital allocation strategy in the
near future.”
Under the terms of the transaction, Tribune will receive 60% of
the $160 million cash selling price net of transaction fees,
subject to a customary working capital adjustment. Tribune will
also enter a master services agreement for licensing and revenue
sharing related to BestReviews content on Tribune Publishing
websites. There will also be a customary transition services
agreement to ensure a seamless transition of ownership and
operations.
The transaction is subject to Hart-Scott-Rodino clearance and
customary closing conditions and is expected to close by the end of
the 2020 calendar year.
About Tribune Publishing CompanyTribune
Publishing Company (NASDAQ: TPCO) is a media company rooted in
award-winning journalism. Headquartered in Chicago, Tribune
Publishing operates local media businesses
in eight markets with titles
including the Chicago Tribune, New York Daily
News, The Baltimore Sun, Hartford Courant, South
Florida's Sun Sentinel and Orlando Sentinel,
Virginia’s Daily Press and The Virginian-Pilot,
and The Morning Call of Lehigh Valley, Pennsylvania. In
addition to award-winning local media businesses, Tribune
Publishing operates Tribune Content Agency and
TheDailyMeal.com.
Our brands are committed to informing, inspiring and engaging
local communities. We create and distribute content across our
media portfolio and offer integrated marketing, media, and business
services to consumers and advertisers, including digital solutions
and advertising opportunities.
Investor Relations Contact:Amy
Bullis312.222.2102abullis@tribpub.com
Media Contact:Max
Reinsdorf847.867.6294mreinsdorf@tribpub.com
Source: Tribune Publishing
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