Red Sox owner enters $70M deal for Boston Globe

BOSTON — Businessman John Henry, the principal owner of the Boston Red Sox, has entered into an agreement to buy The Boston Globe for $70 million, a massive drop from its record $1.1 billion price two decades ago.

The impending purchase from The New York Times Co. marks Henry’s “first foray into the financially unsettled world of the news media,” the Globe said early Saturday. The deal will give Henry the 141-year-old newspaper, its websites and affiliated companies, it said.

The Times announced in February it was putting the Globe and related assets up for sale four years after calling off a previous attempt to sell it. The company’s CEO said at the time selling the Globe would help the company focus attention on The New York Times brand.

Times spokeswoman Eileen Murphy confirmed the sale of the Globe and other media properties to Henry. The Times said the sale includes BostonGlobe.com, Boston.com, The Worcester Telegram &Gazette, Telegram.com, the direct mail marketing company Globe Direct and the company’s 49 percent interest in Metro Boston, a free daily newspaper for commuters.

Henry, in a statement published by the Globe, cited the “essential role that its journalists and employees play in Boston, throughout New England, and beyond.”

“The Boston Globe’s award-winning journalism as well as its rich history and tradition of excellence have established it as one of the most well respected media companies in the country,” Henry said.

Henry said he would reveal details about his plans for the Globe in the next few days.

The Times bought the Globe from the family of former Globe executive Stephen Taylor in 1993 for what it said was the highest price paid for an American newspaper. The Globe and other newspapers have faced difficulties in recent years as advertisers have cut spending on newspapers and moved more ads online. Still, the Globe is a journalistic institution in New England and was lauded for its coverage of the April bombings at the Boston Marathon.

A round of cost-cutting in 2009, which involved pay cuts, helped put the newspaper on better financial footing and prompted the Times to call off a planned sale. In late 2011, the Globe started charging for access to its online version at BostonGlobe.com, which helped to boost circulation revenues.

The Times company doesn’t separate Globe revenue from New York Times revenue in its financial statements. But the Globe had an average weekday circulation of 230,351 in the six months through September, up 12 percent from a year ago, according to the Alliance for Audited Media. The newspaper’s increase in digital subscriptions more than offset declines in print. But the total is still down significantly from the nearly 413,000 it boasted in September 2002.

More in Local News

Man arrested after police find van full of drugs, cash and guns

An officer on patrol noticed a vehicle by itself in the middle of a WinCo parking lot at 2 a.m.

Jim Mathis, the Vietnam veteran whose Marysville garden was recently featured in The Herald, died Wednesday. Mathis, who suffered from PTSD and cancer, found solace in his beautiful garden. (Dan Bates / The Herald)
Vietnam veteran Jim Mathis found peace in his garden

The Marysville man who served two tours died Wednesday after suffering from cancer and PTSD.

Smith Island habitat restoration cost to rise $1.2 million

The project is intended to increase survival rates for juvenile chinook salmon.

Add deputies and bump taxes a bit, executive proposes

Dave Somers’ Snohomish County budget proposal also would address traffic problems in neighborhoods.

County councilman proposes banning safe injection sites

Nate Nehring says county officials also should find “credible, long-term solutions to addiction.”

Car crashes near Everett after State Patrol pursuit

The driver and a second person in the car suffered injuries.

They chose the longshot candidate to fill a vacant seat

Sultan Mayor Carolyn Eslick will serve as representative for the 39th legislative district.

Ivory dealer gets prison after aiding smuggler’s prosecution

Man was charged in 2013 with smuggling and violating the Lacey Act.

Wildfires delay efforts to return fishers to North Cascades

Wildfires over the summer scorched B.C. forests and damaged the fishers’ habitat.

Most Read