Despite some BELO shareholders saying that Gannett was not paying enough to buy the BELO stations, they still approved the deal.
Belo said that its shareholders voted in a special meeting to approve a deal for Gannett to acquire Belo for $13.75 a share - or about $1.5 billion in cash - and assume $715 million of Belo's debt. The deal needed a two-thirds majority of the votes to be approved.
Following the announcement of the vote result, Belo shares fell 0.58% to $13.72 in Wednesday afternoon trading. Shares of Gannett rose 3.9% to $26.76.
Belo issued the following statement: "Television company Belo Corp. held a special meeting of shareholders this morning at which shareholders voted in favor of the proposal to approve and adopt the merger agreement with Gannett Co. Inc. along with two other related proposals. The transaction is subject to certain regulatory approvals and other customary closing conditions. The company expects the transaction to close by the end of 2013."
Once completed, Gannett's TV station portfolio will jump from 23 to 43. The company, which owns USA TODAY, will become the fourth-largest owner of network TV affiliates in households reached, behind CBS, Fox Broadcasting and Sinclair Broadcast Group.
Some Belo shareholders have sought to solicit higher bids by attempting to block the proposed deal through lawsuits. But the vote on Wednesday ensures that Gannett will not have to compete with any other bids to complete its acquisition.
H/T USA Today