Owner of the Boston Red Sox buys the Globe for less than 10 percent of what the NY Times paid ten years ago. Times keeps the unfunded pension liabilities. As I commented before, the purchase of the Globe would be worth it if you could strip out the assets and sell them. Otherwise, it's a bad deal.
From TFA: |
The Boston Globe, one of the most prestigious US newspapers,
is being sold for a fraction of what it was worth 20 years ago.
The New York Times company bought it for $1.1bn (£700m) in 1993 but has now agreed to sell it for $70m.
Like many US newspapers, the Globe has been hit by a slump in advertising revenue with circulation declining.
The buyer is John W Henry, the main owner of the Boston Red Sox baseball team and Liverpool Football Club.
| So he has money to burn... |
In a statement in the Globe, Mr Henry praised the paper's journalistic pedigree: "The Boston Globe's award-winning journalism as well as its rich history and tradition of excellence have established it as one of the most well-respected media companies in the country."
Mr Henry, 63, estimated by Forbes to be worth $1.5bn, made his fortune from financial investments. |