Tribune says Alden bid is now superior to Maryland hotelier’s offer

Tribune Publishing Co. TPCO, -5.33% said Monday a bid for the company made by Maryland hotel executive Stewart Bainum that was backed by Swiss billionaire Hansjörg Wyss under the Newslight LLC banner is no longer a “superior proposal” to the offer made by hedge fund Alden Global Capital LLC, after Wyss pulled out of the deal. “As such, Tribune is no longer permitted to engage in discussions and negotiations with, or provide diligence information to, Newslight and its principals in connection with their proposal, and accordingly has terminated such discussions and negotiations with, and access to diligence information for, Newslight and its principals,” the company said in a statement. Banium said he is still committed to completing the deal at the offer of $18.50 a share in cash, and will continue to hold talks with other potential equity financing sources. Wyss told Bainum that it would require too much investment to turn the chain’s flagship Chicago Tribune into a nationwide publication, the Associated Press reported on Sunday. Wyss and Bainum offered to buy the chain for $18.50 per share, topping a previous offer of $17.25 per share, or $634 million, by Tribune’s largest shareholder, Alden. Tribune shares were not active premarket, but have gained 34% in the year to date, while the S&P 500 SPX, -0.73% has gained 11.4%.

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