New Media to buy Gannett for $1.4 billion, creating biggest U.S. newspaper publisher

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New Media to buy Gannett for $1.4 billion, creating biggest U.S. newspaper publisher
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Local media company New Media Investment Group said on Monday it will buy USA To...

) in a $1.4 billion deal, creating the biggest newspaper owner in the United States as publishers struggle with readers shifting to online sources for news.

Now by merging, the companies expect to cut costs by $275-300 million annually and said they would together have 263 daily media organizations across 47 states, as well as USA Today. New Media and Gannett are the largest U.S. newspaper owners by circulation, according to Statista. After the merger closes, expected by the second half of 2019, New Media will hold about 50.5% stake in the combined company, to be led by Reed.

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