Chicago Reader & Washington City Paper

At a Glance

• Managed well–publicized disagreements amongst shareholders
• Maintained total confidentiality throughout the transaction process for two highly–visible businesses
• Negotiated sale to a buyer with a proven track record and a plan for taking the companies to the next level
• Maximized value with minimal disruption to the on–going businesses

The Call to Action

Bulkley Capital was called upon by two of the country’s leading alternative weekly newspapers, the Chicago Reader and the Washington City Paper, to represent them through final negotiations and due diligence in their sale to Creative Loafing, Inc., owner of alternative weeklies in Atlanta, Tampa, Sarasota and Charlotte.

The Challenge

With ten individual shareholders, well–publicized disagreements among several significant shareholders and board members, and several owners still active in management and in daily contact with employees, it was important to have an experienced outside advisor trusted by all parties who could effectively and discreetly negotiate with the acquirer. Our involvement helped to ensure the confidentiality of the process both within and outside this highly visible company, and protect the individual interests of the shareholders.

The Results

The owners were seeking a buyer with a proven track record and a clear plan for taking the papers to the next level, while maintaining the strong culture and commitment to quality they had established for their readers and employees. Bulkley Capital worked alongside the shareholders to evaluate the buyer’s operations and plans for integration. Despite a challenging environment in the publishing industry, which has seen increased competition and a decline in readership and advertisers, Bulkley Capital succeeded in negotiating and consummating a complex transaction that achieved the economic and structural goals of the selling shareholders, including separate treatment of and added value for the real estate holdings.