NewsLocal News

Actions

Hedge fund loses lawsuit in World-Herald owner, Lee Enterprises takeover fight

Lee Enterprises is based in Iowa and owns several Midwest newspapers
Berkshire Hathaway Newspapers
Posted at 12:18 PM, Feb 27, 2022
and last updated 2022-02-27 16:21:56-05

OMAHA, Neb. (AP) — A judge has cleared the way for newspaper publisher Lee Enterprises to use a voting system that will ensure two longtime directors are re-elected at next month’s annual meeting despite the objections of a hedge fund that is trying to buy the company.

The Davenport, Iowa-based publisher said the Delaware judge threw out Alden Global Capital’s latest lawsuit Friday.

The publisher of the St. Louis Post-Dispatch, Buffalo News, Lincoln Journal Star and dozens of other newspapers rejected Alden’s $141 million takeover offer in December because Lee said it “grossly undervalued” the company.

The New York-based hedge fund has a reputation for imposing severe cuts and layoffs at the more than 200 newspapers it owns.

Download our apps today for all of our latest coverage.

Get the latest news and weather delivered straight to your inbox.