Skip to comments.Mexican billionaire Slim and Protto group, to become main shareholders of New York Times
Posted on 02/25/2014 5:30:17 PM PST by 2ndDivisionVetEdited on 02/26/2014 2:40:06 AM PST by Admin Moderator. [history]
Mexican magnate Carlos Slim and the Italian group Proto will be the principal shareholders of the US daily The New York Times (NYT), said sources at the Proto Organization. This is because Slim plans to exercise at the end of this year warrants he received when he made a major loan to the newspaper company, according to a report in Bloomberg.
(Excerpt) Read more at en.mercopress.com ...
Or is owning the NYT just an expensive way to show off, like owning a yacht?
Whoo-Hoo! Amnesty for everybody!
Veces Nuevo York?
Since he’s pretty much the richest person on Earth, it could be either one, or both.
He’s made a huge killing on his investment up to this point (at the expense of the owners).
If the purse if fat, that’s where it’s at
why waste time lookin’ at the waistline....
Carlos made his fortune by taking over government monopolies that were “privatized” while still being allowed to be monopolies.
Carlos must need the tax write off. The rag is unreadable in any language.
Propaganda organ for the Mexican upper class to cajole the gringos into sending more money to Mexico and taking more of the Mexican underclass off their hands so they don’t string up a rapacious gangster like Slim Helu.
———Does Slim expect to make money from owning the NYT?-——
As principle shareholder I would think he would.....
This could be a good thing after all he is one of the richest people in the world so I would assume he isn’t a dummy...
Maybe he will expand the POV of the paper so people like myself might actually read it instead of using it to line the birdcage...
Carlos Slim expects to use the New York Times to forward the Treason Lobby’s agenda. And Mexico’s agenda, which is the same thing.
In 2009, the total value of the Times public stock went down almost to $500 million.
Slim should have thrown the dice and bought all of it then.
I don't completely understand the ownership structure.
At one time, and perhaps now, too, the Ochs and Sulzberger families controlled 100% of the “voting” stock, which, I believe, was private stock, and unavailable to the public.
I'm not sure if Slim bought the public stock or the family stock.
Start with this, though. The Times has two classes of stock -- Class A and Class B. Class A is publicly traded. Class B is privately held by the Ochs-Sulzberger family.
Both classes share in the profits, such as they are. But Class B nominates 9 of the 14 directors, thus controls the company.
It's not said whether Slim and Proto gained control of 19% of the Class A or Class B shares -- though I presume it is the former, since they say they are now the company's principal shareholders.
My guess is that Slim has plans. Note that Proto, who has a minority stake (just 2%) also owns the leading Italian newspaper -- Corriere della Sera. Proto is probably partnering with Slim for his newspaper expertise.
The odd thing is that the New York Times brand may have more value than the actual operation. They might have some plans to exploit the brand in some way, while they try to keep Pinch & the boys above water.
Why should he have bought all of it then when the price is sure to keep falling?
No, he has a good reason to own it.
The NYT is now mainly a political asset, not a business.
These assets are meant for use as political tools, or as political insurance.
He can promise specific treatment, or silence, of any side in a political dispute, or perhaps hold an implicit threat of coverage, etc. He would use this influence in exchange for favored treatment or to discourage any attacks on his activities.
He makes money off the favors, or the now more protected activities of his other businesses, hence he can absorb the relatively low cost of any losses in the newspaper business.
Pretty much the reason why Bezos bought the Washington Post. People will now think twice about trying to make Amazon collect state sales taxes.
This isn't going to turn the Times into an anti-American internationalist tool any more than it already is. Meet the new boss, amigos.
RE: “Billionaire Carlos Slim is poised to double his money after investing $250 million in a 2009 lending agreement with the New York Times, showing how dearly the newspapers owners paid for his help.”
He took a huge risk, and got a 100% return in 5 years on his loan.
He could have got a 145% return on his money in 5 years if he had invested in the SP 500, and his risk would have been dramatically lower.
Because the price of the stock is 4 times higher today than it was when he made the loan.
I understand and agree with your position. But my recollection is that, when Slim originally made the loan, he was awarded Class A shares. Which, at the time, made me wonder...
Conceivably, there might be an unannounced understanding of some sort involving who gets to run what.
The article makes a distinction between common shares -- acquired by Slim -- and voting shares, owned by the family.
Eet weel be call thee Mehico Seety Times.
We doan need no steekin Merican seety names on our paper!
It's actually HILARIOUS.
He makes money on every Obama phone that’s handed out. What better way to keep his bribed politicians in line then buy the paper and put public pressure on them.
Not just Obamaphones. Almost all the pre-paid phones in the Americas and Caribbean come from him. That’s a bunch.