Lee Enterprises Adopts Limited-Duration Shareholder Rights Plan

Board Acted in Response to a Significant Accumulation of Stock to Protect Long-Term Value for All Shareholders

DAVENPORT, Iowa, March 29, 2024 (GLOBE NEWSWIRE) -- Lee Enterprises, Incorporated (NASDAQ: LEE) (“Lee” or the “Company”), today announced that its Board of Directors (the “Board”) has unanimously adopted a limited-duration shareholder rights plan (“Rights Plan”). The Rights Plan is effective immediately and will expire on March 27, 2025. The Board may consider an earlier termination of the Rights Plan if circumstances warrant.

The Board, in consultation with its legal advisors, adopted the Rights Plan in response to the significant accumulation of shares of Lee common stock by Quint Digital Limited, an entity based in India (together with its promoters and affiliates, “Quint”). In adopting the Rights Plan, the Board considered among other things, that Quint:

• Rapidly built and increased its ownership position to more than 12.4% of the Company’s outstanding common stock, and in recent discussions with the Company, Quint indicated its intent to continue to accumulate LEE shares,
• Controls a digital publishing business that offers a content management system that seeks to compete with the Company’s subsidiary, BLOX Digital, and
• Highlighted its ownership stake in Lee in its public materials, including a February 28^th press release that outlines its strategy for expansion into the North American media tech market.

“Consistent with its fiduciary duties, the Lee Board determined that based on the circumstances it was necessary to adopt a rights plan to protect the long-term interests of all Lee shareholders,” said Mary Junck, Chairman of the Board. She continued, “The Company has maintained open dialogue with Quint Digital and plans to continue these conversations.”

The Rights Plan is intended to enable the Company’s shareholders to realize the long-term value of their investment, ensure that all shareholders receive fair and equal treatment in the event of any proposed takeover of the Company, and to guard against tactics to gain control of the Company without paying all shareholders an appropriate premium for that control. The Rights Plan applies equally to all current and future shareholders and is not intended to deter offers or preclude the Lee Board from considering offers that are fair and otherwise in the best interest of the Company’s shareholders.