HUNTINGTON, W.Va., -- Champion Industries, Inc. today announced that it has signed a definitive asset purchase agreement to acquire The Herald-Dispatch in Huntington, West Virginia from GateHouse Media for a purchase price of $77 million. The transaction is expected to close during the Company's fourth quarter and is subject to regulatory approval and customary closing conditions. Champion intends to finance the acquisition with debt.
The Herald-Dispatch has a total daily and Sunday circulation of approximately 28,000 and 33,000, respectively.
Marshall T. Reynolds, Chairman of the Board and Chief Executive Officer of Champion, said, "The Herald-Dispatch is a premier institution in West Virginia and the entire tri-state area. We believe this opportunity will generate numerous expansion and growth opportunities. We expect this acquisition to generate substantial earnings before interest, taxes, depreciation and amortization (EBITDA) to Champion and feel that a locally owned newspaper will provide important benefits to our communities as well as shareholders. I personally am excited to work with The Herald-Dispatch to better our communities and to create an entity to complement Champion Industries and to expand our revenue base and diversify our operations."