Richmond, Va.—Berkshire Hathaway subsidiary BH Media Group has agreed to acquire all local newspapers owned by Media General with the exception of the Tampa Group. Berkshire Hathaway will pay $142 million in cash for the papers, which include 63 dailies and weeklies in Alabama, North Carolina, South Carolina and Virginia.
Berkshire Hathaway will also provide Media General with a $400 million term loan and a $45 million revolving credit line.
“In towns and cities where there is a strong sense of community, there is no more important institution than the local paper,” Warren Buffett, chairman of Berkshire Hathaway, said in a statement. “The many locales served by the newspapers we are acquiring fall firmly in this mold, and we are delighted they have found a permanent home with Berkshire Hathaway.”
The deal follows the announcement of Berkshire Hathaway's acquisition of the Omaha World-Herald Co. newspapers in December.