McClatchy’s biggest creditors made an offer to purchase
the company April 16, the company’s D.C. bureau reported. Creditors
Chatham Asset Management and Brigade Capital Management set a sale price in
excess of $300 million and a deadline in July.
The two creditors asked Judge Michael E. Wiles
to see them as a stalking horse bidder. In bankruptcies, a stalking horse
enters a starting offer that serves as a jumping off point for other offers.
If their action is approved, it would prompt
an auction for ownership of the company.
McClatchy is the country’s second-largest
local media company. It declared bankruptcy in February. The company’s Chapter
11 case is unfolding in U.S. Bankruptcy Court for the Southern District of New
York.
Under terms of the proposed credit bid,
McClatchy would remain one company, which will emerge from Chapter 11 having
resolved its legacy debt and pension obligations, the company said in a news
release.
Nieman Lab predicts that with McClatchy’s moves, the Gannett-GateHouse
merger and a possible Tribune-MNG consolidation, by summer’s end, five big U.S.
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