The New York Times Co. is today set to receive bids for the sale of the Boston Globe, with offers expected in the region of $100 million, reported the Financial Times on Wednesday.
The sale, first announced in February, is likely to see the American media company make a loss, having purchased the newspaper in 1993 for $1.1 billion.
Rick Daniels, a former president of the Globe, and Jack Griffin, a former CEO of Time Inc., are among the potential buyers, according to three sources close to the matter who preferred not to be named, the FT reported.
Evercore Partners were hired by the New York Times to oversee the auction in February, in a deal which also includes the Worcester Telegram and Gazette, reported Bloomberg earlier this year.
A recent decline in circulation and advertising revenues of metro papers is of strong concern to any potential bidders according to industry experts.
“Whoever is going to buy metro newspaper companies really needs deep pockets. There will be another three to five hard years of pain and the only way to preserve your news presence is to invest,” the Financial Times quoted Outsell Research industry analyst Ken Doctor as saying.
The deal is the second occasion that the New York Times has attempted to offload the Globe, following a withdrawn sale in 2009.