Cablevision Systems Corporation, owned by New York's Dolan family, has teamed up with Tribune Company to purchase Newsday Media Group, owners of one of the America's largest daily newspapers.
"Newsday is one of the great names in the history of American journalism," said Cablevision chairman Charles F Dolan. "It is both an honour and privilege to return Newsday back to Long Island-based ownership after nearly 40 years."
The $650 million transaction, which sees Cablevision acquiring 97% of Newsday Media Group, will add a complementary print and online media group to Cablevision's advertising, subscription and content-based businesses. In addition to its newspaper offerings, Newsday Media Group also owns websites and lifestyle magazines.
"We see this as a wonderful fit," said Cablevision president and CEO James L Dolan (pictured). "Adding Newsday Media Group's superb assets to Cablevision's portfolio presents a multitude of opportunities."
One of these will be to market Newsday directly to hundreds of thousands of households currently served by Cablevision – the majority of whom do not currently subscribe to the newspaper.
Cablevision were left to purchase Newsday Media Group after Rupert Murdoch's News Corp surprisingly abandoned its attempt to buy the company over the weekend, saying it was unwilling to match Cablevision's price.