When Postmedia Network Canada Corp. sealed its $316-million purchase of the bulk of the Sun newspaper chain in April, its chief executive officer cast the deal as a necessary step to scale up and compete in the ever-more-crowded market for digital news. Analysts too hailed the acquisition as a smart move that bought Postmedia breathing room as it tries to cope with a heavy debt load.

But the transaction also set the clock ticking on Postmedia’s future prospects – and perhaps even its survival – as Canada’s largest newspaper publisher.

read entire story here