Investment will help human capital solutions leader continue to
transform its business
MCLEAN, Va.--(BUSINESS WIRE)--Jun. 19, 2017--
TEGNA Inc. (NYSE: TGNA) today announced it has entered into a definitive
agreement, together with the other owners of CareerBuilder, a global
leader in human capital solutions, to sell CareerBuilder to an investor
group led by investments funds managed by affiliates of Apollo Global
Management, LLC (NYSE: APO), a leading global alternative investment
manager, and the Ontario Teachers’ Pension Plan Board. TEGNA’s estimated
cash proceeds from the sale are expected to be approximately $250
million, which will be used to retire existing debt and for other
general corporate purposes.
As part of the agreement, TEGNA will remain an ongoing partner in
CareerBuilder, reducing its current 53% controlling interest to 12.5% on
a fully-diluted basis once the proposed transaction is complete. As a
result, CareerBuilder will no longer be consolidated within TEGNA’s
reported operating results and will instead be reflected as an equity
investment within TEGNA’s financial statements.
The proposed transaction is subject to receipt of customary regulatory
approvals and satisfaction of other conditions and is expected to close
in the third quarter of 2017. TEGNA was advised by Morgan Stanley on the
proposed transaction and was also assisted by Greenhill & Co.Wachtell,
Lipton, Rosen & Katz acted as legal advisor.
About TEGNA
TEGNA Inc. (NYSE: TGNA) is an innovative media company that serves the
greater good of our communities. With 46 stations in 38 markets, TEGNA
delivers relevant content and information to consumers across platforms.
It is the largest owner of top 4 affiliates in the top 25 markets,
reaching approximately one-third of all television households
nationwide. Each month, TEGNA reaches 50 million adults on-air and 32
million across its digital platforms. TEGNA has been consistently
honored with the industry’s top awards, including Edward R. Murrow,
George Polk, Alfred I. DuPont and Emmy Awards. TEGNA delivers results
for advertisers through unparalleled and innovative solutions including
OTT local advertising network Premion,
centralized marketing resource Hatch, and G/O
Digital, a one-stop shop for local businesses to connect with
consumers through digital marketing. Across platforms, TEGNA tells
empowering stories, conducts impactful investigations and delivers
innovative marketing solutions. For more information, visit www.TEGNA.com.
Forward Looking Statements
Any statements contained in this communication that do not describe
historical facts may constitute forward-looking statements as that term
is defined in the Private Securities Litigation Reform Act of 1995. Such
forward looking statements include statements with respect to TEGNA’s
entry into a definitive agreement to sell CareerBuilder to funds
affiliated with Apollo Global Management, LLC and the Ontario Teachers’
Pension Plan Board. Any forward-looking statements contained herein are
based on our management’s current beliefs and expectations, but are
subject to a number of risks, uncertainties and changes in
circumstances, which may cause actual results or company actions to
differ materially from what is expressed or implied by these statements.
Such risks, uncertainties and changes in circumstances include, but are
not limited to: uncertainties as to the timing of the proposed
transaction; risks associated with the disruption of management’s
attention from ongoing business operations due to the proposed
transaction; the conditions to the completion of the transaction may not
be satisfied on the anticipated terms and timing or at all, or the
regulatory approvals required for the transaction may not be obtained on
the terms expected or on the anticipated schedule; the parties’ ability
to meet expectations regarding the timing, completion and accounting and
tax treatments of the proposed transaction; and the risk that financing
intended to fund the proposed transaction may not be not obtained, or is
obtained on terms other than those previously agreed to. Economic,
competitive, governmental, technological and other factors and risks
that may affect TEGNA’s operations or financial results are discussed in
our Annual Report on Form 10-K for the fiscal year ended December 31,
2016, and in subsequent filings with the U.S. Securities and Exchange
Commission. We disclaim any obligation to update these forward-looking
statements other than as required by law.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170619005662/en/
Source: TEGNA Inc.
TEGNA Inc.
For media inquiries, contact:
Steve Kidera
Manager,
Corporate Communications
703-873-6434
skidera@TEGNA.com
or
For
investor inquiries, contact:
Jeffrey Heinz
Vice President,
Investor Relations
703-873-6917
jheinz@TEGNA.com
