Newscom Invites Formal Approaches From Potential Buyers

Regional newspaper group Newscom has invited potential buyers to formally approach its board following the release of healthy first quarter results yesterday (see Newscom Announces “Excellent” First Quarter Results). The Competition Commission has given clearance for Newsquest, Johnston Press and Trinity Mirror to bid for the group (see Competition Commission Clears Newscom Bids) for whose benefit yesterday’s results were released ahead of Newscom’s usual half-year reporting period.

A Newscom spokesman said today that no formal approaches had yet been received from bidders and consequently no timetable for dealings has been set. He also confirmed that independence remains an option for the company, saying “We have invited discussions which would be considered by the board. The key thing is our shareholders, who must get maximum value.” On the back of yesterday’s positive figures the price of shares in the company rose by 75p to £16.25 (see Sharewatch), but the company will not put a figure on the offer it is seeking.

Ahead of the results, Newscom made cost-cutting measures which included selling off two titles- The Swindon Messenger and West Wiltshire Advertiser– to Bristol United Press. It also closed free papers Bath Advertiser and Bristol Advertiser.

Newscom: 01703 424 777