Local Bid For Boston Globe Gets More Firepower


If the latest report by the Boston Globe about its own possible buyers is right — and they’ve been right on the big stuff so far — it just got even harder for the New York Times Co. (NYSE: NYT) to consider selling to Beverly Hills private equity firm Platinum Equity. Last week, potential local wannabe publisher and Boston Celtics co-owner Stephen Pagliuca switched to wannabe senator instead, ending his investor group’s bid for the paper. At the same time, the paper reports, former Boston Globe exec Steve Taylor got the backing of his cousin Benjamin Taylor — the former publisher of the Globe, who was a “significant” shareholder when the family sold the paper to the NYTCo for $1.1 billion in 1993. As the paper notes, much of the proceeds are tied up in family trusts but Benjamin Taylor can bring more cash — and, potentially, other investors. Benjamin Taylor was the last in the family to head the paper; he was fired by Arthur Sulzberger, Jr., in 1999.

Both parties are reported to have bid about $35 million for the Globe and the Worcester Telegram & Gazette, plus assuming about $59 million in pension liabilities. If Steve Taylor can prove he has the financial resources to back up his bid, Sulzberger and company will having a very difficult time choosing the cost-slashing carpetbaggers over a home team that already knows how to run a paper. (Then again, this is the same family that shrugged off the chance to be on the ground floor with Monster.com — detailed here by the Globe — but that was another country and besides …)

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