DallasNews Rejects Revised Alden Buyout Proposal; Reaffirms Hearst Merger Agreement

(RTTNews) - DallasNews Corp. (DALN), a Texas-based newspaper publisher and seller, on Wednesday announced that its Board has reviewed and rejected a revised, non-binding buyout proposal from MNG Enterprises, Inc., an affiliate of Alden Global Capital.

The revised offer, received on August 19, proposed to acquire all outstanding shares of DallasNews stock for $18.50 per share in cash.

The board said the decision followed consultation with the company's legal and financial advisors.

As previously disclosed, the company entered into a definitive merger agreement with Hearst on July 9, under which Hearst agreed to acquire all outstanding shares of the company's stock for $14.00 per share in cash.

The agreement was later amended on July 27 to raise the purchase price to $15.00 per share, representing a 242% premium over the closing price of DallasNews Series A common stock on July 9, the day before the deal was announced.

In the pre-market trading, DallasNews is 0.27% lesser at $14.96 on the Nasdaq.