DallasNews Surges on Sweetened $16.50/Share Hearst Buyout Deal

DallasNews Corporation (NASDAQ: DALN) saw its shares rally after the company announced a significant amendment to its merger agreement with Hearst, finalizing a purchase price of $16.50 per share in cash.

The revised offer marks a substantial increase from previous proposals and represents a on July 9, 2025. This move effectively concludes a bidding process that included an unsolicited offer from a third party and signals a strong valuation for the parent company of The Dallas Morning News.

The path to the current deal involved several steps. Hearst initially agreed in July to acquire DallasNews for $14.00 per share. The situation grew more complex when an affiliate of Alden Global Capital, MediaNews Group, submitted an unsolicited, non-binding bid of $16.50 per share. However, DallasNews Corporation's controlling shareholder, Robert W. Decherd, firmly rejected the Alden proposal, stating there were "." Following this rejection, the board determined the Alden offer was not superior, leading to the amended and finalized agreement with Hearst at the higher price.

The deal has received favorable recommendations from independent proxy advisory firms, including Institutional Shareholder Services (ISS) and Glass Lewis, who have both advised shareholders to vote in favor of the Hearst merger. This support underscores the financial benefits of the sweetened offer for existing investors.

Upon completion of the transaction, which is expected in late 2025 pending final shareholder approval, DallasNews Corporation will become a private entity under the Hearst umbrella. The acquisition adds The Dallas Morning News to Hearst's impressive portfolio of Texas newspapers, which already includes the Houston Chronicle and San Antonio Express-News. as a strategic consolidation by Hearst, investing in established local journalism within a major growth market.