Star-Tribune sells for less than half its last purchase price

In 1998, the McClatchy Co. purchased the Minneapolis Star-Tribune for $1.2 billion. It has now sold the paper for $530 million. Avista Capital Partners, a private equity firm, is purchasing the paper. It sounds like the new folks are hinting at changes down the road. Said Avista’s Chris Harte, who will serve as chairman of a board overseeing the paper, “You and I and everyone who works with us will have to listen carefully to our readers and our advertisers and make sure we provide them with the information and advertising they want, when they want it, how they want it… By doing that, the Star Tribune will continue to be the dominant medium in the Twin Cities.” McClatchy is selling off some of its properties after purchasing Knight Ridder earlier this year, and says it’s selling the Star-Tribune – its largest property – to take a tax loss on the acquisition. (Via PaidContent)