The news today that Rupert Murdoch is very close to getting his grubby hands on the Wall Street Journal is an indication that every newspaper company in the country could be for sale — even those, like Dallas’ Only Daily Newspaper, which have special anti-takeover provisions.
The Journal seemed immune from buyout, and especially from someone like Murdoch — once described by Chicago newspaperman Mike Royko: "His goal is not quality journalism. His goal is vast power for Rupert Murdoch, political power." But Murdoch started throwing around billions and even the family that owns the Journal, which has special anti-takeover measures and a long history of quality journalism, succumbed.
But, you ask, the News and its parent, Belo, are struggling, as is the entire newspaper business. Why would anyone want to buy them? Several reasons: First, for the real estate. Second, for the TV stations, which aren’t doing all that badly. Third, because the parts of the company are worth more than the whole, in that goofy way investment bankers have of valuing companies. Case in point: The parent of the Chicago Tribune, which just sold.
