Rapid City, SD- According to the St. Louis Post-Dispatch, David Hoffmann, a Florida-based billionaire, is set to become the chairman of the parent company of the Rapid City Journal following a $50 million investment deal announced Tuesday. Hoffmann, a Missouri native and founder of the Hoffmann Family of Companies, is leading the deal to acquire a controlling stake in Lee Enterprises, a move that provides significant debt relief for the regional newspaper chain.

The transaction comes as Lee Enterprises, the Davenport, Iowa-based owner of publications in 70 markets. As part of the agreement, Lee CEO Kevin Mowbray will retire with a $1.5 million payout, while Chief Operating Officer Nathan Bekke steps in as interim CEO. The deal also includes an agreement with primary lender Berkshire Hathaway Finance to reduce the interest rate on the company’s roughly $450 million debt from 9% to 5% for five years, a change expected to save Lee up to $18 million annually.

Hoffmann, whose diverse business portfolio includes the Florida Everblades and a recent agreement to acquire a controlling interest in the NHL’s Pittsburgh Penguins, has expressed a commitment to local news. He previously noted that local newspapers remain a vital part of the American fabric despite the challenges of the digital age. The deal is expected to close in the first quarter of 2026 following shareholder approval.