NY Times Hires Investment Banker To Find A Buyer For The Boston Globe
On Wednesday, The New York Times said that it intends to sell the New England Media Group, which includes The Boston Globe and related on-line properties; and has hired an investment banker to help locate a buyer.
The Times hired Evercore Group, a firm based in New York, that has assisted with other transactions involving newspapers, in helping to solicit bids from possible buyers.
The chief executive of the Times Co., Mark Thompson said, “Our plan to sell the New England Media Group demonstrates our commitment to concentrate our strategic focus and investment on The New York Times brand and its journalism.”
Thompson also said that the Times was “proud of our association with the Globe;” however, because of the differences between the New York times and these businesses, it is believed that a sale is better for the long-term of the properties, employees, and shareholders.
In 2009 the Times Co. attempted to sell the Globe, after it first threatened to shut down the newspaper because it was losing money. After it went through cost-saving concessions and wage cuts, the Times decided not to sell stating that the bids it received from two business groups were too low.
Since that time, the Times Co. has sold a significant number of other properties, which included newspapers in California and Florida, a stake it had in the Boston Red Sox, and numerous broadcast outlets. Additionally, it also sold the website About.com.
The sale of the Boston Globe by the New York Times will also include: Worcester Telgram, BostonGlobe.com, Boston.com, Telegram.com and GlobeDirect. As well, it would also include the Times Co.,’s 49%stake in Metro Boston.
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