A hedge-fund-backed media group known for buying up struggling local papers and cutting costs has made an offer for USA Today publisher Gannett Co.

MNG Enterprises Inc., one of the largest newspaper chains in the country, has quietly built a 7.5% position in Gannett’s stock and is urging the McLean, Va., publisher to review its strategic alternatives, including a potential sale. It also is calling on Gannett to commit to a moratorium on digital investments.

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