Montgomery nets £10m from sale of local newspapers
Northern Ireland newspaper man David Montgomery will depart the local newspaper group he founded with a £10m windfall after Trinity Mirror agreed to buy it for £220m.
The deal, which was confirmed yesterday after weeks of talks, will see Trinity buy the 80% of shares it does not already own in Local World for £154.4m.
Trinity also owns the Daily Mirror and Sunday Mirror, the Daily Record and the People as well as local titles such as the Western Mail and the Liverpool Echo.
It added that it will raise around £35.4m in a share sale as part of the financing for the deal, which will give it control of more than 200 titles.
Local World owns 83 print publications including 16 daily titles and 36 paid-for weeklies.
It said most of its titles cover the South West and Wales, London and the South East, and the Midlands and the North.
Bangor man Mr Montgomery, who is group chief executive of Local World, said: "Local World was founded three years ago with a clear vision to reinvigorate regional media with an unrelenting focus on our content, audience and advertisers. Local World is full of energy and talent and Trinity Mirror is acquiring a vibrant business with a strong future."
Local World was formed in 2012 after a merger of titles from Daily Mail & General Trust's Northcliffe Media, and Iliffe News and Foods.