“The proposed merged entity would provide the best opportunity to ensure strong news media coverage for Canadians from coast to coast. The news media industry in Canada and around the world is under existential threat, new models are urgently required. Scale, reach and efficiency are all prerequisites for future success and to compete with the global technology platforms.
“By pooling resources and working collaboratively, we can ensure that more Canadians have access to trusted journalism and quality reporting. This will strengthen our democracy and protect the fabric of our country. Preserving the editorial independence of our newsrooms, including the Toronto Star, is of particular importance to this arrangement going forward.”Article content
In 2020, Torstar accepted a $60 million takeover offer from NordStar Capital LP which was financed by Canso Investment Counsel Ltd., which is a major debtholder of Postmedia, a deal approved by Canada’s Competition Bureau. Both companies have faced economic hardship during increasing digitalization of news which has meant cuts, layoffs and cost reductions.