By: Jennifer Saba
Slim got the warrants in January 2009 when he lent the Times Co. $250 million. The company said that that he would not be joining the board. The Class A common shares he has the right to purchase are publicly traded stock, not the super-voting shares that gives the Ochs and Sulzberger family control of the company.
On Wednesday, the Times Co. announced it had tripled its profit in Q4 and indicated that advertising revenue declines were moderating. Barclays Capital released a research note upgrading the company to ?overweight? due mostly to what analysts believe is a more manageable debt level.
Barclay analysts Hale Holden and Danish Agboatwala suggested on Wednesday that Slim could exercise his warrants giving the New York Times a ?modest cash inflow.? It also opens the door, analysts wrote, for the Times to possibly refinance the note if Slim increased his stake in the company.
Shares of the Times Co. (NYSE: NYT) were trading down in the early afternoon 2.2% to $10.55.