PR man Brian Tierney is out as chief of the Philadelphia Inquirer and Daily News as a creditor group led by hedge fund Angelo, Gordon & Co. won the media properties at a bankruptcy court auction.
Brian Tierney |
The winning investors, which include Credit Suisse and GE Capital, offered $105M in cash, which was $10M more than the bid of a competitor group spearheaded by Tierney, Revlon CEO Ron Perelman and his philanthropist father, Raymond.
Tierney, leading a local group called Philadelphia Media Holdings, purchased the papers for $560M in 2006 from McClatchy Cos, which acquired them in the Knight Ridder takeover.
He took the loss in stride, joking to the Daily News that he planned to “go home tonight and sleep like a baby, which means I’ll wake up every hour crying.” Tierney has promised to aid in the transition to new ownership.
Bob Hall, the 65-year-old former publisher of the Philadelphia papers from 1990 to 2003, consulted the new owners and will be COO. He says employee contract concessions are a priority. A CEO will soon be announced.
A bankruptcy judge must approve the deal. A hearing is set for May 25. Closing could happen in June.
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