Tegna receives new acquisition offer

Tysons-based Gannett spinoff company has competing offers worth roughly $8.5 billion

Published March 19, 2020 by Sydney Lake

Now the subject of a bidding war, Tysons-based broadcast and digital media company Tegna Inc. has received a new acquisition offer from investment firm The Najafi Cos. and religious broadcaster Trinity Broadcasting Network (TBN) that values the company at $20 per share cash, the companies announced Thursday.

Tegna was once part of McLean-based mass media giant Gannett Co. Inc., the largest U.S. newspaper publisher, with a portfolio of 261 local daily newspapers in 46 states and Guam, including its flagship publication, USA Today.

Tenga also recently received $8.5 billion bid from Apollo Global Management and TV producer Byron Allen, which boils down to an offer comparable to the $20 per share cash that Najafi and TBN is offering. 

Najafi and TBN, however, plan to create a new wholly-owned entity for the proposed acquisition.

“The group believes a successful bid would create significant value to Tegna’s shareholders, while as a private company under Najafi and TBN, Tegna would have the opportunity and flexibility to execute a long-term value creation strategy, free from the pressures of managing short-term public shareholder objectives,” the companies said in a released statement.

Tegna owns 62 television stations and four radio stations in 51 markets and its programming reaches 41.7 million television households.