Knight Ridder, the newspaper giant that put itself up for sale last month, received several preliminary bids yesterday from both rivals and private equity firms, according to people involved in the auction.
Among the rival newspaper chains that submitted what is known as indications of interest were the Gannett Company, the McClatchy Company and the MediaNews Group, these people said.
Several consortiums of private equity firms also expressed interest, including a group composed of the Blackstone Group, Providence Equity Partners and Kohlberg Kravis Roberts & Company.
Several other private equity firms, including Thomas H. Lee Partners, the Texas Pacific Group, Spectrum Equity Partners, and Madison Dearborn Partners may also bid either jointly or separately.
And some other newspaper chains, like Lee Enterprises, have held talks to potentially join a group of private equity firms, these people said. It remains possible that as the auction progresses, bidders may change alliances.
Newspapers might be able to offer more attractive bids, analysts said, because they will be able to wring more savings from the deal.
Knight Ridder, which publishes newspapers including The Miami Herald and The Philadelphia Inquirer, said last month that it was considering a sale of the company in response to pressure from some vocal shareholders.
