Icahn Buys 6.63% Stake In Gannett

(RTTNews) - Billionaire investor Carl Icahn has bought a 6.63% stake in media company Gannett Co. Inc. (GCI), saying the shares were undervalued and that value could be created by splitting Gannett into separate print and broadcast companies, according to a regulatory filing Thursday.

The filing shows Icahn has acquired 14,967,373 shares of Gannett, including shares underlying call options, at a cost of about $229 million, starting mid-June. After acquiring a substantial position in the company, on August 5, Gannett announced plans to split into two such companies.

Icahn said in the filing that he had no contact with Gannett before Thursday, but that he plans to have talks with company representatives going forward.

Gannett shares are currently gaining 4.85% in after hours trading after closing the day's regular trading session at $34.05, up 2 cents.