US: Tribune Co. accepts Zell offer
Zell is supporting the deal with $315mil of his own. “Upon completion of the deal, Tribune will be privately held, with an employee stock ownership plan, or ESOP, holding all of Tribune's then-outstanding common stock,” according to Market Watch. Zell will hold a warrant giving him the right to 40% of Tribune’s common stock.
Though Zell was initially rumored to wish to keep the company intact, Tribune has said that it will sell the Chicago Cubs after the 2007 baseball season as well as their 25% of Comcast SportsNet Chicago.
Zell beat out Los Angeles billionaires Eli Broad and Ron Burkle, who put in a last-minute bid for the company. Tribune Co. owns 11 newspapers, including the Chicago Tribune and Los Angeles Times, and 23 television stations.
Source: Market Watch
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