Hearst acquires Dallas Morning News and Medium Giant

DALLAS – DallasNews Corporation, the holding company of The Dallas Morning News and Medium Giant, announced shareholders approved the company’s merger with Hearst at the company’s special meeting Sept. 23. The deal closed Sept. 24.

The Dallas Morning News and Medium Giant will now join Hearst, one of the nation’s leading information, services and media companies. As outlined in the merger agreement, DallasNews shareholders will receive an all-cash consideration of $16.50 per share of DallasNews common stock, and DallasNews will cease to trade as a public company.

Alden-backed MediaNews Group offered $20 a share, a deal rejected by the Dallas newspaper company’s former chairman, Robert Decherd, the company’s largest and controlling stockholder. Since July, MediaNews offered higher and higher bids per share, but each was rejected.

Adding The Morning News gives Hearst control over newspapers in most of Texas’ largest cities, expanding a portfolio that already includes the largest dailies in Houston, Austin and San Antonio. Decherd, whose holdings of special shares in DallasNews enabled him to block any acquisition, argued that Hearst would be a better steward for the Morning News, which was founded by his great-grandfather in 1885.

“We would like to thank DallasNews shareholders for voting to approve this important and value creating merger with Hearst, and for securing the future of DallasNews,” said John A. Beckert, chairman of the board, DallasNews. 

“We are proud to have delivered this compelling and certain premium for shareholders, and are confident that The Dallas Morning News and Medium Giant have a bright future ahead as members of the Hearst family.”

“With the agreement now approved, we’re excited to work with our new colleagues at The Dallas Morning News and Medium Giant,” said Jeff Johnson, president of Hearst Newspapers. “Bringing these respected organizations into Hearst fully aligns with our commitment to strengthening trusted, high-impact local media in growing markets, and we look forward to building the future together.”

DallasNews has reported the results of the special meeting via a Form 8-K filed with the Securities and Exchange Commission.

J.P. Morgan Securities LLC served as exclusive financial adviser to DallasNews Corporation and Haynes Boone served as legal adviser.