tronc to repay outstanding debt via proceeds from Nant Capital deal

By Sarah Lizee

Olympia, Wash., Feb. 7 – tronc, Inc. plans to repay all currently outstanding corporate debt following its sale of the Los Angeles Times, The San Diego Union-Tribune and various titles in the California News Group to Nant Capital, LLC, according to a press release.

Under the terms of the agreement, tronc will receive $500 million in cash and $90 million in pension liabilities.

“We are pleased to transition leadership of the Los Angeles Times and The San Diego Union-Tribune to local ownership, and we are certain that the journalistic excellence in Southern California will continue long into the future,” Justin Dearborn, chief executive officer of tronc, said in the release.

“This transaction allows us to fully repay our outstanding debt, significantly lower our pension liabilities and have a substantial cash position following the close of the transaction.”

The transaction is expected to close in the late first quarter or early second quarter of 2018, subject to antitrust clearance under the Hart-Scott-Rodino Act and other customary conditions.

Chicago-based tronc is a newspaper print and online media publishing company.

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