MediaBuyerPlanner: The Chandler family, a group with a large stake in the Tribune Company, has begun holding talks with private equity firms about the possibility of forming a consortium in order to bid on part of the company, sources close to the discussions said yesterday.
The Chandler family, which once owned The Los Angeles Times and which became a large shareholder in Tribune when it sold Times Mirror to the company, began pressuring Tribune Co. to put itself up for sale six months ago, writes The New York Times. At first, the family had no interest in buying the company, but now, discouraged by the lack of serious interest in the Tribune auction, the Chandlers are considering getting into the action.
The move may be a plan either to create value in a leveraged buyout of the assets, or to possibly start a bidding war.
A few private equity firms have submitted bids for the company, but they have been much lower than anticipated, while the only newspaper group to express interest has been the Gannett Company.
The family’s interest in Tribune appears to be solely based on economics, despite the fact of their significant role in building The Los Angeles Times, according to the article. Unlike the Chandlers, billionaire investors Eli Broad, Ron Burkle and David Geffen have expressed interest in acquiring Tribune, or at least The Los Angeles Times, with the expectation of acting as a benefactor.
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