Gannett Co Inc, publisher of USA Today, said on Wednesday it will buy Journal Media Group for $280 million.
Gannett said the deal will be immediately add to its earnings by about 10 cents to 15 cents per share in the first full year and 20 cents to 25 cents in the second year. The deal, which is expected to close in the first quarter of 2016, will add about $450 million to Gannett's annual revenues, it added.
Closure of the deal is subject to approval from a majority of shareholders of Journal Media Group and antitrust regulatory clearance.
Gannett said it will acquire Journal Media Group, which was formed this year from the merger of E.W. Scripps Co and Journal Communications' newspaper operations, for $12 per share by payment in cash and borrowings under its $500 million revolving credit facility.
(Reporting by Rachel Chitra in Bengaluru; Editing by Lisa Shumaker)