Following formal approval of the reorganization of its Toronto-headquartered parent, Hollinger Inc., American Publishing will be known as Hollinger International Inc.
More important than the name change, however, the reorganization will give APC a substantial infusion of capital.
Under the plan, Hollinger Inc. will credit APC with $114 million, which will "substantially increase the capitalization and ultimately the market liquidity of APC," its parent said in a statement.
When the reorganization is complete, Hollinger will own about 85% of all outstanding class A and B shares of the former APC, giving the parent 95% of voting shares.
At the same time, APC will assume ownership of a 58.5% stake in The Telegraph publishing company, publisher of the Daily Telegraph of London.
For APC, the addition of the London paper is another step in what has been a transformation of the Frankfort, Illinois-based chain once composed almost entirely of small-town monopoly dailies in America's heartland.
In the past year, APC bought two of Chicago's four dailies, the Chicago Sun-Times and the Daily Southtown. APC has also, for some time, had the Israeli English-language paper, the Jerusalem Post, under its corporate umbrella.
APC went public in May, 1994. APC stockholders will vote on the reorganization plan in September.
By: Editorial Staff AS IT SHEDS some of its smaller Midwest papers and takes corporate responsibility for The Telegraph publishing company in London, American Publishing Co. is changing its name, too.