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US: Mexican billionaire Carlos Slim will cut his stake in New York Times

 |  December 19, 2017

Mexican billionaire Carlos Slim is going to cut his stake in New York Times Company, Bloomberg News reported.

Bloomberg said Slim’s company sold US$250 million of trust securities to hedge funds earlier this month, which gives the buyers “a claim on” 9% position in the media company, according to a person with knowledge of the matter.

The report said the trust securities will convert into New York Times shares in three years. Following the conversion, Slim will own 8% of the company.

“In essence, the billionaire created a trust, pledged New York Times shares to it, locked the shares up for three years, then sold rights to that stock to investors,” the article said.

A New York Times spokesperson sent the following statement when asked for comment for this story:

“Carlos Slim became a shareholder of The New York Times Company at a critical time in the company’s history. The company today has a strong balance sheet and strongly growing digital revenues. We are grateful for Mr. Slim’s confidence and support of the company.”

Full Content: Bloomberg

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