Monday, January 15, 2024

Black Press, owners of the Northern View, to move forward on corporate restructuring and sale transaction

The Northern View's office in Prince Rupert is
on the top floor of Third Avenue West's Besner Block

Black Press which covers local news in communities across British Columbia and beyond has made some new of its own today. 

That through a statement that advises it is seeking creditor protection under the Companies Creditors Arrangement Act, that as the publisher looks to gain debtor in possession  financing from Canso Investment Counsel Limited and the appointment of KSV Restructuring to monitor the company.

As part of a support agreement, Black Press intends to seek Court approval to launch a sale and solicitation process for its business and assets on or around January 25th.

Should the courts approve and the transaction move forward, Black Press notes how that restructured entity would look: 

"The Transaction will put the Company on solid and sustainable financial footing, enabling it to continue to serve its valued Canadian and American readers, customers, employees, and communities over the long term. 

The Purchasers and the Company are committed to continue providing journalism excellence and outstanding advertising solutions to the many communities that Black Press serves. 

Black Press also intends to seek recognition of the CCAA Proceedings in the United States pursuant to Chapter 15 of Title 11 of the United States Code in the United States Bankruptcy Court for the District of Delaware."

Of the principles in today's restructuring news, Canso Investment Council Ltd.  is a Canadian investment fund group based in Toronto, Deans Knight Capital Management has its head office in Vancouver. 

Carpenter Media Group are American based, they operate a number of publications mostly in the southern USA.

As noted above, Black Press indicates a commitment to continue with their journalism to the communities that they serve. Though how that will look moving forward remains to be seen.

For employees of the publishing group, entering creditor protection is a corporate decision that could impact on any severance that may come out of the restructuring process.

Today's announcement also comes on the same day that David Black announced his retirement.

The full statement from Black Press can be reviewed here.

So far the only note for its readers from Black Press towards the announcement is a story distributed to all of its papers. ( a non paywall version is available here)

The local publication has not as of yet,  provided for a story on the changes underway with their ownership and what impact if any it may have on the local offices on Third Avenue West.

For the moment, January 25th would seem to be the next benchmark towards the future for Black Press which was founded by David Black in 1975, the chain which would expand significantly over the decades began with the purchase of The Williams Lake Tribune. 

The Northern View, which came along a bit later, would become the sole newspaper in the Prince Rupert market in 2010,  that following the purchase and closure of the Daily News in July of  that year.

More notes on communication options on the North Coast can be reviewed here

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