Deals

Gannett Terminates Talks to Buy Tronc

  • Handshake agreement said to collapse with lack of financing
  • Few other publicly traded newspaper companies available

Gannett Bid for Tronc Ends on Lack of Financing

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Gannett Co. dropped its $683 million bid for rival Tronc Inc. after financing fell through, ending a months-long pursuit that would have put some of the biggest U.S. newspapers under one roof.

The companies’ handshake deal early last month, in which Gannett would buy Tronc for about $18.75 a share, collapsed when bankers wouldn’t line up to fund the transaction, a person familiar with the matter said, asking not to be identified discussing private information. Gannett said financing wasn’t an issue. Shares of Tronc plunged as much as 27 percent to $8.76 in New York Tuesday, while Gannett rose as much as 5.4 percent to $8.19.