Julie Watson, Associated Press
A Latin American billionaire looks to expand his empire in the United States in a deal that could make him the largest shareholder of The New York Times Co.
The $250 million investment by Mexican tycoon Carlos Slim could provide some synergies with his telecommunications holdings in Latin America, analysts say.
Perhaps more importantly, Slim, reputed to be the world’s second-richest man, would gain the prestige of owning one of the world’s best-known and most influential newspapers.
“By having a stake in the New York Times, he’s basically projecting himself as a powerbroker in this country, regardless of how his investment does,” said Armand Peschard-Sverdrup, a senior associate of the Center For Strategic and International Studies, a Washington think tank.
The Times announced late Monday the financing agreement with Slim’s companies Banco Inbursa and Inmobiliaria Carso for $125 million each. Times President Janet L. Robinson said the cash infusion will be used to refinance existing debt and will provide the company with increased financial flexibility.