Alden Global Capital, the hedge fund that has amassed a newspaper empire, said on Thursday that it is bidding for full control of Tribune Publishing, the parent of publications like The Chicago Tribune and The Baltimore Sun.
In a letter to Tribune’s board, Alden — which is already the publisher’s biggest shareholder, with a nearly 32 percent stake — said that it was willing to buy the remaining shares that it does not already own for $14.25 a share. That represents an 11 percent premium to Tribune’s closing price on Wednesday.
The offer values Tribune at about $520.6 million.
The bid by Alden, whose MediaNews Group already owns about 200 newspapers, including The Denver Post and The Mercury News, increased its grip on Tribune, adding another board seat, earlier this year.
The hedge fund has embarked on an acquisition spree of local newspapers — but has stoked outrage from employees over its business plan of sharply cutting costs at those publications in an effort to wring out profits.
This is a developing story. Check back for updates.