(AP) Hollinger International Inc., the newspaper publishing company controlled by Conrad Black, is taking a minority interest in a new daily to be launched early next year in New York.
The paper, to be called The New York Sun, would be edited by Seth Lipsky, former editor of the Forward, a national Jewish newsweekly, said Paul Healy, vice president of corporate development for Hollinger International. The story was first reported in Wednesday editions of The New York Observer.
Hollinger International is investing $2 million for a 12.5% stake in the paper, valuing the entire venture at about $16 million. The paper would be published five days a week.
Healy declined to discuss other details about the paper, including who the other investors were. Lipsky declined to comment.
Hollinger International has sold several of its newspaper holdings, including Canada’s National Post, but it still owns the Chicago Sun-Times, The Daily Telegraph, in England and The Jerusalem Post.
Separately, Hollinger’s Toronto-based parent company, Hollinger Inc., announced Wednesday that it has sold its stake in Canadian media conglomerate CanWest Global Communications for $180 million to further reduce its debt.
Hollinger sold its major Canadian newspaper holdings to CanWest Global last year in a deal worth $2.1 billion, which included 27.4 million shares of CanWest stock. The CanWest shares were sold to RBC Capital Markets.
On Tuesday, Hollinger reported it lost $32 million in the third quarter, more than five times its loss during the same period last year.