Many Louisiana residents realize that larger multi-national businesses engage in large-scale transactions every day that further their business goals and plans for expansion. Of course, small businesses aren’t averse to planning out their own corporate strategy, it’s just that when one small business makes a bid to acquire another it usually doesn’t make national headlines.
Some of our readers may have seen the recent reports that Gannett, the newspaper company that owns USA Today — a paper that millions of people read each day, including many in Louisiana — has made an offer to buy a fellow publishing company for a whopping $815 million. The offer by Gannett to buy Tribune Publishing, itself a major newspaper publishing company that owns the Chicago Tribune and the Los Angeles Times, would presumably result in several major newspaper publications ending up under the umbrella of one company.
However, Tribune Publishing does not seem to want to make this a friendly acquisition. Recent reports indicate that Tribune Publishing does not want to enter into any discussions, whether it is in regards to an acquisition of the company, or perhaps even a discussion of a merger of the two companies, as Gannett has indicated that the company is willing to “consider all alternatives,” according to the reports.
Mergers and acquisitions can be tricky even under the best of circumstances, but they can become even more complex if the transaction begins to resemble a hostile acquisition as opposed to a mutually-negotiated bargain. Companies in Louisiana that are contemplating a similar move to acquire a competitor will probably want to make sure that they are aware of all of the legal complexities that can come with a merger or acquisition.
Source: nola.com, “Gannett offers to buy rival Tribune Publishing for $815 million,” Carlie Kollath Wells, April 25, 2016