Washington, Aug 5 (AFP) USA Today publisher Gannett agreed to a merger Monday with rival GateHouse in a deal bringing together two of the largest newspaper groups seeking scale in the troubled sector.

GateHouse parent New Media Investment Group will buy Gannett in a cash-and-stock transaction valued at around USD 1.4 billion that creates a media company with 263 dailies and reaches 145 million customers.

"We believe this transaction will create value for our shareholders, greater opportunities for our employees, and a stronger future for journalism," said Michael Reed, New Media chairman and chief executive.

"Uniting our talented employees and complementary portfolios will enable us to expand our comprehensive, hyperlocal coverage for consumers, deepen our product offering for local businesses, and accelerate our shift from print-centric to dynamic multimedia operations." (AFP)

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)