DallasNews Corporation Files Preliminary Proxy Statement
DallasNews Corporation (Nasdaq: DALN) has filed a preliminary proxy statement regarding its pending merger with Hearst for $15.00 per share in cash. The merger represents a 242% premium over DALN's July 9 closing price of $4.39.
The company's majority voting shareholder, Robert W. Decherd, has committed to vote in favor of the Hearst merger. Meanwhile, Alden Global Capital made an unsolicited proposal on July 22, but the Board determined it wasn't a "Superior Proposal." Decherd has explicitly stated he won't support any Alden transaction, making their proposal effectively impossible to consummate due to the required two-thirds voting approval structure.
The Board emphasizes that the Hearst merger is the only viable path to deliver certain, premium value to shareholders, warning that Alden's interference could potentially destroy significant shareholder value.
DallasNews Corporation (Nasdaq: DALN) ha presentato una dichiarazione preliminare di procura riguardante la sua fusione in corso con Hearst per $15,00 per azione in contanti. La fusione rappresenta un premio del 242% rispetto al prezzo di chiusura di DALN del 9 luglio, pari a $4,39.
Il principale azionista con diritto di voto della società, Robert W. Decherd, si è impegnato a votare a favore della fusione con Hearst. Nel frattempo, Alden Global Capital ha presentato una proposta non sollecitata il 22 luglio, ma il Consiglio di Amministrazione ha stabilito che non si tratta di una "proposta superiore." Decherd ha dichiarato esplicitamente che non sosterrà alcuna transazione con Alden, rendendo di fatto impossibile la realizzazione della loro proposta a causa della struttura di voto che richiede l'approvazione di due terzi.
Il Consiglio sottolinea che la fusione con Hearst è l'unica strada percorribile per garantire un valore certo e premium agli azionisti, avvertendo che l'interferenza di Alden potrebbe potenzialmente distruggere un valore significativo per gli azionisti.
DallasNews Corporation (Nasdaq: DALN) ha presentado una declaración preliminar de poder en relación con su fusión pendiente con Hearst por $15.00 por acción en efectivo. La fusión representa una prima del 242% sobre el precio de cierre de DALN del 9 de julio, que fue de $4.39.
El accionista mayoritario con derecho a voto de la compañía, Robert W. Decherd, se ha comprometido a votar a favor de la fusión con Hearst. Mientras tanto, Alden Global Capital hizo una propuesta no solicitada el 22 de julio, pero la Junta determinó que no era una "Propuesta Superior." Decherd ha declarado explícitamente que no apoyará ninguna transacción con Alden, haciendo que su propuesta sea efectivamente imposible de concretar debido a la estructura de aprobación que requiere dos tercios de los votos.
La Junta enfatiza que la fusión con Hearst es la única vía viable para ofrecer un valor seguro y premium a los accionistas, advirtiendo que la interferencia de Alden podría destruir potencialmente un valor significativo para los accionistas.
DallasNews Corporation (나스닥: DALN)은(는) 주당 $15.00 현금으로 진행 중인 Hearst와의 합병에 관한 예비 위임장 성명을 제출했습니다. 이번 합병은 7월 9일 DALN 종가 $4.39 대비 242%의 프리미엄을 의미합니다.
회사의 과반수 의결권 주주인 로버트 W. 데처드는 Hearst와의 합병에 찬성 투표를 하기로 약속했습니다. 한편, Alden Global Capital은 7월 22일에 비공식 제안을 했으나 이사회는 이를 "우월한 제안"으로 판단하지 않았습니다. 데처드는 Alden과의 거래를 지지하지 않을 것임을 명확히 밝혀, 3분의 2 이상의 투표 승인 구조 때문에 Alden의 제안은 사실상 성사 불가능합니다.
이사회는 Hearst와의 합병이 주주들에게 확실하고 높은 가치를 제공하는 유일한 실현 가능한 방법임을 강조하며, Alden의 간섭이 주주 가치를 크게 훼손할 수 있음을 경고했습니다.
DallasNews Corporation (Nasdaq : DALN) a déposé une déclaration préliminaire de procuration concernant sa fusion en cours avec Hearst pour 15,00 $ par action en espèces. La fusion représente une prime de 242 % par rapport au cours de clôture de DALN du 9 juillet, qui était de 4,39 $.
Le principal actionnaire avec droit de vote de la société, Robert W. Decherd, s'est engagé à voter en faveur de la fusion avec Hearst. Pendant ce temps, Alden Global Capital a fait une proposition non sollicitée le 22 juillet, mais le conseil d'administration a déterminé qu'il ne s'agissait pas d'une "offre supérieure." Decherd a explicitement déclaré qu'il ne soutiendrait aucune transaction avec Alden, rendant leur proposition pratiquement impossible à concrétiser en raison de la structure d'approbation requérant les deux tiers des voix.
Le conseil souligne que la fusion avec Hearst est la seule voie viable pour offrir une valeur certaine et premium aux actionnaires, avertissant que l'ingérence d'Alden pourrait potentiellement détruire une valeur significative pour les actionnaires.
DallasNews Corporation (Nasdaq: DALN) hat eine vorläufige Vollmachterklärung bezüglich der bevorstehenden Fusion mit Hearst für 15,00 USD pro Aktie in bar eingereicht. Die Fusion stellt eine Prämie von 242% gegenüber dem Schlusskurs von DALN am 9. Juli von 4,39 USD dar.
Der Mehrheitsaktionär mit Stimmrecht, Robert W. Decherd, hat sich verpflichtet, für die Fusion mit Hearst zu stimmen. Unterdessen hat Alden Global Capital am 22. Juli ein unerbetenes Angebot gemacht, das der Vorstand jedoch nicht als "überlegenes Angebot" einstufte. Decherd hat ausdrücklich erklärt, dass er keine Transaktion mit Alden unterstützen wird, was deren Angebot aufgrund der erforderlichen Zwei-Drittel-Mehrheit praktisch unmöglich macht.
Der Vorstand betont, dass die Fusion mit Hearst der einzige gangbare Weg ist, um den Aktionären einen sicheren, überdurchschnittlichen Wert zu bieten, und warnt davor, dass eine Einmischung von Alden den Aktionärswert erheblich zerstören könnte.
- Merger offer represents a substantial 242% premium over recent share price
- Clear path to completion with majority shareholder support for Hearst deal
- Certainty of all-cash transaction at $15.00 per share
- Alden's interference could potentially derail the Hearst merger
- Complex voting structure requires multiple share class approvals
- Risk of losing significant shareholder value if Hearst deal fails
-- Reiterates Proposed Merger with Hearst as Path to Certain, Premium Shareholder Value --
DALLAS, Aug. 04, 2025 (GLOBE NEWSWIRE) -- DallasNews Corporation (Nasdaq: DALN) (the “Company” or “DallasNews”), the holding company of The Dallas Morning News and Medium Giant, today filed a preliminary proxy statement in connection with its pending merger with Hearst, one of the nation’s leading information, services and media companies, for
As described in the preliminary proxy statement filing, the DallasNews Board of Directors (the “Board”) continues to believe that the Hearst Merger is in the best interests of shareholders: clear, certain value at a
Importantly, Robert W. Decherd, the current owner of a majority of the voting power of DallasNews common stock, has agreed to vote his shares in favor of the Hearst Merger. Mr. Decherd’s support is necessary to obtain the requisite shareholder approval and thus essential to the Hearst Merger or, in fact, any similar proposed transaction.
Alden Global Capital’s Intervention: An Illusory, “Alternative” Transaction That Will Not Be Consummated
On July 22, 2025, the Company received an unsolicited, non-binding proposal (the “Alden Proposal”) from MNG Enterprises, Inc., an affiliate of Alden Global Capital (“Alden”). Alden represented at the time that, “[w]e have been considering a potential transaction with DallasNews for several years,” though such purported interest had never been conveyed to DallasNews prior to July 22nd.
Shortly after the Company’s receipt of the Alden Proposal, Mr. Decherd publicly confirmed his intention to honor his commitment to vote in favor of the Hearst Merger. He further stated that there is no scenario involving Alden or its affiliates as a buyer for DallasNews which he would support. Mr. Decherd’s message was clear: as long as he is the controlling shareholder, Alden will never own DallasNews.
In large part due to the fact that an Alden transaction is impossible to consummate without Mr. Decherd’s approval, DallasNews announced on July 28, 2025 that the Board had reviewed the Alden Proposal and determined that it did not constitute a “Superior Proposal” as that term is defined in the Hearst Merger Agreement.
Despite the insurmountable shareholder approval hurdle that Alden faces in a path to a potential transaction, Alden has now stated their intention to take their case “directly to [DallasNews] shareholders.” While their goal in doing so is unclear, for the Hearst Merger (or any transaction) to be consummated, two-thirds of the shares of Series A common stock, voting as a single class, must vote in favor of a transaction, in addition to two-thirds of the shares of Series B common stock, voting as a single class, and two-thirds of the combined shares of Series A and Series B common stock, voting together as a single class. Mr. Decherd does not control the Series A vote, thus Alden’s ownership stake – and potential efforts to rally other shareholders against the Hearst Merger – makes it increasingly difficult for DallasNews to obtain approval of and close the transaction with Hearst.
Should Alden thwart the Hearst Merger, it will have succeeded only in destroying tens of millions of dollars of potential shareholder value represented by the Hearst Merger. And while they may publicly state otherwise, Alden has no replacement transaction to offer: absent Mr. Decherd’s support, they cannot reach the requisite threshold for shareholder approval of their own deal.
The proposed Hearst Merger is thus clearly the optimal path forward for DallasNews shareholders. Indeed, it is the sole path at this point that will deliver certain, premium value to shareholders.
J.P. Morgan Securities LLC is serving as exclusive financial advisor to DallasNews. Haynes Boone is serving as legal advisor to DallasNews.
About DallasNews Corporation
DallasNews Corporation is the Dallas-based holding company of The Dallas Morning News and Medium Giant. The Dallas Morning News, a leading daily newspaper, is renowned for its excellent journalistic reputation, intense regional focus, and close community ties. As a testament to its commitment to quality journalism, the publication has been honored with nine Pulitzer Prizes. Medium Giant, an integrated creative marketing agency with offices in Dallas and Tulsa, works with a roster of premium brands and companies. In 2024, the agency earned top industry recognition, winning an AAF Addy and the AMA DFW Annual Marketer of the Year Award for Campaign of the Year, along with six prestigious Davey Awards. Medium Giant is a wholly owned business of DallasNews Corporation. For additional information, visit mediumgiant.co.
Forward-Looking Statements
This communication contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements are based on current expectations, estimates and projections about, among other things, the industry and markets in which the Company operates, and the transactions described in this communication. Words such as “anticipate,” “assume,” “believe,” “can,” “could,” “estimate,” “forecast,” “intend,” “expect,” “may,” “project,” “plan,” “seek,” “should,” “target,” “will,” “would” and their opposites and similar expressions are intended to identify forward-looking statements. Forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from those set forth in forward-looking statements. While the Company’s management believes the assumptions underlying its forward-looking statements and information are reasonable, such information is necessarily subject to uncertainties and may involve certain risks, many of which are difficult to predict and are beyond the control of the Company’s management. These risks include, but are not limited to: (i) the occurrence of any event, change or other circumstances that could give rise to the termination of the Hearst Merger Agreement; (ii) the outcome of any legal proceedings that may be instituted against the Company and others following announcement of the Hearst Merger Agreement or the Company’s implementation of a shareholder rights plan (the “Rights Plan”); (iii) the inability to complete the proposed Hearst Merger due to the failure to obtain the requisite approval of the Company’s shareholders or the failure to satisfy other conditions to completion of the Hearst Merger; (iv) risks that the proposed transaction disrupts current plans and operations and the potential difficulties in employee retention as a result of the Hearst Merger; (v) the impact, if any, of the announcement or pendency of the Hearst Merger on the Company’s relationships with customers or other commercial partners; (vi) the amount of the costs, fees, expenses and charges related to the Hearst Merger and the Rights Plan; (vii) the ability of the Rights Plan to protect shareholders' interests and to effectively ensure that the Board has sufficient time to make informed judgments that are in the best interests of the Company and its shareholders; and (viii) other risks described in the Company’s public disclosures and filings with the Securities and Exchange Commission (the “SEC”). All forward-looking statements speak only as of the date of this communication or, in the case of any document incorporated by reference, the date of that document. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are qualified by the cautionary statements in this section. We undertake no obligation to update or publicly release any revisions to forward-looking statements to reflect events, circumstances or changes in expectations after the date of this communication.
Additional Information and Where to Find It
This communication is being made in connection with the proposed merger transaction involving the Company and Hearst. In connection with the proposed transaction, the Company has filed a preliminary proxy statement and plans to file a definitive proxy statement with the SEC. This communication is not a proxy statement or solicitation of a proxy, consent or authorization with respect to any securities or with respect to the proposed transaction. Promptly after filing a definitive proxy statement with the SEC in connection with the proposed transaction, the Company will mail the definitive proxy statement and a WHITE proxy card to each shareholder entitled to vote at the special meeting of shareholders to consider the approval of the Merger Agreement. SHAREHOLDERS ARE URGED TO READ THE PRELIMINARY PROXY STATEMENT (AND, WHEN IT BECOMES AVAILABLE, THE DEFINITIVE PROXY STATEMENT) CAREFULLY AND IN ITS ENTIRETY BECAUSE IT CONTAINS IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. In addition, the preliminary proxy statement (and, when it becomes available, the definitive proxy statement) and the documents incorporated therein by reference are available free of charge at the SEC’s website, www.sec.gov. The preliminary proxy statement (and, when it becomes available, the definitive proxy statement) and the documents incorporated therein by reference also may be obtained for free at the Company’s website, dallasnewscorporation.com, or by contacting the Company at (214) 977-8869.
Participants in the Solicitation
The Company and its directors and officers and other members of management and employees may be deemed to be participants in the solicitation of proxies in connection with the proposed transaction. Information regarding the Company’s directors and executive officers is included in its proxy statement for its 2025 annual meeting of shareholders, which was filed with the SEC on March 26, 2025, and is incorporated by reference in the preliminary proxy statement.
| Contacts | |
| Media: Kekst CNC | Investors |
| Jonathan Morgan | Katy Murray, President |
| jonathan.morgan@kekstcnc.com | 214-977-8869 |
| kmurray@dallasnews.com |
FAQ
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