Postmedia, Toronto Star owner Nordstar end their merger discussions

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Canadian media companies Postmedia Network Canada Corp. and Nordstar Capital LP, the company that owns the Toronto Star, have ended discussions about a potential merger, saying they were unable to come to an agreement.

Both companies issued press releases disclosing the change, with Torstar Corp. noting that the added backdrop of regulatory and financial uncertainty contributed to the talks ending.

Postmedia president and CEO Andrew MacLeod said in a statement that the "need for creative solutions and foundational transformation in our industry remains." They had said the proposed deal would help them scale up in order to respond to the "existential threat" facing the media industry. The now-dead deal would have seen Nordstar retain a 65 per cent interest in the new company that would have been created to run the Toronto Star.

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