As first reported last week, Gannett (NYSE: GCI) confirmed that it has bought out the rest of local sales info site ShopLocal, currently owned by McClatchy (NYSE: MNI) and Tribune. Gannett had owned 42.5 percent of the company. In a separate release, McClatchy said it sold its 15 percent stake for 7.875 million. That values the total company at $52.5 millionthis is less than the $85 million valuation it had back in 2006. Tribune's 42.5 percent stake is valued at $22.3 million using the same math. McClatchy says it will also realize a tax benefit, as the sale represents an investment loss. The full proceeds will go towards paying down debt. Tribune hasn't made an announcement of its own, though obviously it has its own debt to pay down. Release.
Gannett says that ShopLocal will be used in conjunction with its PointRoll rich media ad network.
By Joseph Weisenthal