Journal Media Group Announces U.S. Department Granted Clearance To Merge With Gannett

Journal Media Group Inc JMG announced on Thursday the U.S. Department of Justice concluded its review of the company's proposed merger with Gannet Co Inc GCI.

More than 92 percent of Journal Media Group's shareholders voted in favor of a merger with Gannet in early March. As part of the merger agreement, Journal Media shareholders are to receive $12.00 in cash for each share they own.

The transaction is now expected to close after Friday's trading session.

Gannet offered to acquire the company on October 7. The company noted at that time that its offer represents a 44.6 percent premium to Journal Media's stock.

Robert J. Dickey, president and chief executive officer of Gannett said in the initial takeover offer, "The publications of both Gannett and Journal Media Group have a rich history, a commitment to journalism, and a dedication to informing and being active members in the communities we serve. Our merger will combine the best of each of our organizations to create a journalism-led, investor-focused company which will provide substantial value to the shareholders of both companies. This transaction is an excellent first step in the industry consolidation strategy we have communicated to our shareholders and is a good example of the value-creating opportunities we believe are available."