America’s bankrupt No.2 newspaper chain McClatchy is to be acquired by Chatham Asset Management in a consortium with Brigade Capital which would remove it from Chapter 11 bankruptcy which the company entered in February. The two investors will cancel their $263m of debt in return for the assets of the newspaper publisher. The bid is subject to approval from creditors, the company’s board and a bankruptcy court.
McClatchy was established in 1857 and had always been family owned. Its news brands include The Charlotte Observer and the Durham Herald-Sun.
Chatham Asset Management is a major shareholder in American Media Inc, publisher of The National Enquirer.
