Postmedia has entered an agreement to purchase parts of SaltWire, a network of news outlets in Atlantic Canada that recently filed for creditor protection.
Postmedia says the acquisition is not yet final, but the deal aligns with the company’s goal of preserving local journalism.
“Local journalism is essential for keeping communities informed and connected. Saltwire, with over a dozen media titles, plays a crucial role in this regard,” Postmedia wrote in a news release Friday.
SaltWire includes the SaltWire Network Inc. and The Chronicle Herald Limited. The company owns several papers, including the Cape Breton Post, The Guardian, based in Charlottetown, and The Telegram, based in St. John’s, N.L.
In 2022, Postmedia purchased Brunswick News Inc., which includes the Telegraph Journal in Saint John, the Daily Gleaner in Fredericton, the Times and Transcript in Moncton, and other papers across the province. Brunswick News was previously owned by the Irving family.
Postmedia’s main publication is the National Post, but they have papers across the country.
Andrew MacLeod, the president and CEO of Postmedia, said in a statement that they plan to give SaltWire their resources and provide a guide for operating the paper, if the deal goes through.
Postmedia said buying SaltWire is necessary to keep the paper running for a long time. MacLeod said that Postmedia would “need the support of relevant unions” to build a business model that works.
The deal hinges on several things: court approval, the perspectives of unions and stakeholders, and completing the necessary documentation, the company said.
Because of the financial pressure on the SaltWire network, these “key conditions” have to be satisfied by Aug. 5 and the deal closed by the 26th.
“We urge all stakeholders, including employees and community leaders, to support our efforts. The future of local journalism in the Atlantic provinces depends on everyone’s cooperation in a successful restructuring,” wrote MacLeod.
The news release did not disclose any financial details of the deal.
