Gannett’s board of directors has approved completion of the previously announced separation transaction which will create two publicly traded companies: a broadcasting and digital company named Tegna and new Gannett, which will retain the name Gannett Co. Inc. and will include its publishing properties and affiliated digital assets, reports TV NewsCheck.  Gannett is based in McLean, Va.

Under terms of the transaction, continued the report, Gannett shareholders will retain their shares of Gannett (which will be renamed Tegna) and receive one share of new Gannett for every two shares of Gannett stock they own on the record date of June 22, 2015, and new Gannett shares will begin “regular way” trading on June 29.

Gracia Martore, president-CEO of Gannett, will be president-CEO of Tegna upon completion of the separation. She said: “In just three weeks, we will create two industry leaders that will benefit greatly from enhanced strategic, operating, financial and regulatory flexibility as independent companies. We believe strongly that this transaction will enhance performance, unlock shareholder value and give investors access to more targeted investment opportunities with trading valuations that better reflect the distinctive characteristics and growth profiles of both companies,” continued the report.