Gannett drops bid for Tronc

Gannett, the biggest U.S. newspaper publisher, yesterday pulled its bid for Tronc, the owner of the Chicago Tribune and Los Angeles Times.

Bloomberg reported last week financing fell through after several banks backed out of the deal.

"It is unfortunate that Gannett's lenders made their decision to terminate their role in the transaction without the benefit of Tronc's third-quarter financials or any future projections," Tronc officials wrote in a statement. "Tronc remained a constructive partner to Gannett as it sought to complete its financing for the agreed-upon purchase price; however, Gannett was unable to do so and terminated discussions."

Tronc later yesterday posted a quarterly net loss of $10.5 million on revenue of $378.2 million.

Gannett, the owner of USA TODAY and more than 100 local news properties, reportedly offered to buy Tronc for higher than $18 per share.

Read more from Crain's Chicago Business.