Co-owner of Madison Media Partners plans to fend off hostile takeover
Lee Enterprises, co-owner of Madison Media Partners and the Wisconsin State Journal, said it had approved a plan to guard against a hostile takeover by New York hedge fund Alden Global Capital, according to a report from the Wisconsin State Journal. Under the plan, if Alden gets control of 10% or more of Lee’s stock in the next year, other shareholders could buy shares at a 50% discount or get free shares for every share they already own. This plan would flood the market with additional shares and dilute the stock, making it more expensive for Alden to acquire a controlling percentage. This plan would allow shareholders and the board of Lee to consider the offer from Alden without pressure. Lee owns daily newspapers, digital products, and over 350 weekly and specialty publications in 77 markets over 26 states.