The deal is expected to close on Feb. 1 following an inspection period
PLANO, Texas — This story was originally published by our content partners at the Dallas Business Journal. You can read the original version here.
DallasNews Corp. has found a buyer for its Plano printing plant.
The parent company of the Dallas Morning News said in a Dec. 18 securities filing that it will sell the 620,000-square-foot building at 3900 Plano Parkway to an entity called 2201 Luna Road LLC for $43.5 million.
The deal is expected to close on Feb. 1 following an inspection period slated to end Jan. 17.
It was not immediately clear who was behind 2201 Luna Road LLC. Contact information was redacted from the securities filing, although the document was signed by someone named Yaoyao Cao. Requests for more information about the buyer were not immediately answered.
DallasNews (Nasdaq: DALN) had announced in May plans to shutter the Plano printing facility and put the building up for sale. The company is shifting its printing operations to a smaller leased space in Carrolton at 1433 W. Frankford Road. DallasNews said it’s part of a strategy to shed assets and increase profitability.
In May, DallasNews had said the move would involve some job cuts. The company in November informed the Texas Workforce Commission that it expects to lay off 75 employees at the Plano plant on Feb. 1.
The move is expected to save DallasNews roughly $5 million a year since the smaller facility will cost less to operate and maintain.
The new 67,000-square-foot facility in Carrolton is expected to be ready early next year. DallasNews has said it plans to spend about $8 million to purchase and install new printing equipment.
DallasNews owns the Dallas Morning News, the 14th largest newspaper in the country, as well as marketing agency Medium Giant. The company reported a $1.4 million loss in the third quarter after its revenue declined 10% year-over-year to $31 million, while it’s headcount was down 12% from a year prior. DallasNews employed 534 people as of Sept. 30.