CORNWALL, Ontario - Thursday it was announced that TC Transcontinental has signed a final agreement to acquire the 74 Quebec community papers of Sun Media Corporation (a Quebecor Media company), and the related web properties, which employ more than 600 people.
The transaction must still be approved by regulators, including the Competition Bureau. Until then, the operations will continue as before and the two organizations will continue working independently of each other.
"This transaction is in line with our strategy to strengthen our core assets and to pursue the development of a local digital media offering for businesses and communities. The local media market has been particularly affected by the current industry dynamic; this has led us to make strategic choices in order to protect the financial stability of our business. The acquisition of the Sun Media community papers, and their future integration with our network, fits in very well with our strategy. I am delighted at the possibility of soon welcoming the Quebec employees of the Sun Media weeklies to TC Media," said François Olivier, President and CEO of TC Transcontinental.
As part of this transaction, TC Transcontinental also signed a parallel agreement with Quebecor Media to print some of its magazines and direct marketing materials. TC Transcontinental Printing will start printing the Quebecor Media products on or about February 1, 2014.
"To conclude, today’s announcement by TC Transcontinental and Quebecor Media is a historic one. On the one hand it shows the relevance of our state-of-the-art printing platform and our ability to help publishers and marketers, and on the other it demonstrates our ability to change in keeping with the new realities of the local media market," added François Olivier.