Lee Enterprises’ TownNews Acquires Digital CMS Business
February 21 2019 - 5:30PM
Lee Enterprises, Incorporated (NYSE: LEE), a leading provider of
high quality, trusted, local news, information and a major platform
for advertising in 49 markets, announced today that its subsidiary,
TownNews, has reached an agreement to purchase the content
management system (CMS) business from GTxcel, a Boston-based
digital company that provides content management services to more
than 200 broadcasters and magazine publishers.
“A big part of our strategy is to accelerate revenue and cash
flow growth at TownNews,” said Lee President and Chief Executive
Officer Kevin Mowbray. “Revenue at TownNews over the last six
months is up more than 30% over prior year, and we believe this
acquisition will further accelerate revenue growth. GTxcel’s
content management business expands TownNews’ ability to partner
with broadcasters, and it further underscores Lee’s commitment to
aggressively drive digital revenue,” Mowbray added.
“With the acquisition, we are gaining market share, expanding
our service offerings to include WordPress CMS and acquiring staff
with expertise in digital development, implementation and sales,”
Mowbray said.
The acquisition was funded with cash on the balance sheet. Lee
owns 82.5% of TownNews, which provides state-of-the-art web
hosting, content management, video and other digital services to
nearly 1,800 media outlets. Since 2011, the company has a compound
annual growth rate of more than 12%.
ABOUT LEE
Lee Enterprises is a leading provider of local news and
information, and a major platform for advertising, with daily
newspapers, rapidly growing digital products and nearly 300 weekly
and specialty publications serving 49 markets in 20 states. Year to
date, Lee's newspapers have average circulation of 0.7 million
daily and 1.1 million Sunday, and are estimated to reach more than
2.2 million readers in print alone. Lee's markets include St.
Louis, MO; Lincoln, NE; Madison, WI; Davenport, IA; Billings, MT;
Bloomington, IL; and Tucson, AZ. Lee Common Stock is traded on the
New York Stock Exchange under the symbol LEE. For more information
about Lee, please visit www.lee.net.
Contact: IR@lee.net(563) 383-2100
Lee Enterprises (NYSE:LEE)
Historical Stock Chart
From Mar 2024 to Apr 2024
Lee Enterprises (NYSE:LEE)
Historical Stock Chart
From Apr 2023 to Apr 2024