OpenGate Capital to Acquire PennySaverThursday, September 19, 2013
OpenGate Capital on Thursday said that it signed an agreement with Harte-Hanks Inc., to acquire the assets of the PennySaver free shopping newspaper chain.
The Century City investment firm did not disclose terms of the deal, but said it includes the PennySaverUSA.com website and Harte-Hanks Shoppers publications.
Brea-based PennySaver launched in 1962 as the Huntington Beach PennySaver, and is designed to serve the advertising needs of local businesses. It had grown to more than 780 weekly local editions throughout California, and has more than 800 employees and annual revenue of nearly $200 million.
“We are excited to work with Harte-Hanks on their divestiture of PennySaver,” OpenGate Chief Executive Andrew Nikou said in a statement. “Harte-Hanks worked diligently to find the right partner to not only get a deal completed quickly at a fair price, but to find a partner that could operate and grow the business.”
The acquired business will operate as PennySaver USA, OpenGate said.