Tegna (TGNA) - Get Report shares were higher on Monday after a New York investment firm disclosed that it increased its holding in, and intends to be "actively engaged with," the television- and radio-station operator.
In a Securities and Exchange Commission Form 13D, Standard General LP and the firm's chief investment officer, Soohyung Kim, disclosed a 9.8% holding in the Tysons, Va., company. An August disclosure with the SEC showed that the investors held 9.2%.
Tegna shares were up 3.8% to $15.55 on Monday. As of Friday's close, the stock had risen about 38% in 2019. The company's current market capitalization is about $3.25 billion.
The latest SEC filing, dated Sept. 30, said Standard General and Kim hold the shares as an investment.
It also said that since the August filing, they have "observed news articles, disclosures by [Tegna] and third-party research reports regarding possible M&A activity relating to" Tegna.
In mid-August, The Wall Street Journal reported that the New York private-equity firm, Apollo Global Management (APO) - Get Report , which was seeking to increase its presence in TV broadcasting, approached Tegna about a deal.
Tegna a week later said Apollo in February had proposed a deal without specifying a price. And Tegna said Apollo in June made a different proposal "to combine Tegna with broadcasting assets Apollo is in the process of buying, in a transaction that would not have constituted a change of control of Tegna."
Tegna said then that it didn't "intend to update this disclosure."
Standard General and Kim said in their latest SEC filing that they have experience as holders and directors of publicly listed TV broadcasters and a track record "of overseeing acquisitions, mergers and sales processes" of such companies.
The investors plan activities that may include making proposals regarding the company's business, management, strategic alternatives, capital structure and corporate governance, the filing said.
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