This builds on Nexstar’s effort to bulk up with help from its election year windfall from sales of political ads. In today’s deals, the company paid Newport Television $35.4M for a CBS affiliate in Fresno, an NBC/CW station in Bakersfield, and a low-powered Telemundo affiliate there. In addition, Nexstar agreed to pay Mission broadcasting $17.1M for the Fox and ABC affiliates in Burlington, Vt. The FCC has to bless the arrangements before they can take place; Nexstar expects them to close early next year. They follow the company’s deal in July to buy 12 stations in markets including Salt Lake city, Little Rock, and Memphis.
Here’s today’s release: READ MORE »
Newport is Providence Equity’s holding company for the collection of TV stations the private equity firm bought in 2007 from Clear Channel. Investors seem to like Nexstar’s $285.5M agreement today for 12 Newport stations; Nexstar shares are +5.2% at mid-day. Sinclair is more complicated: In addition to the $412.5M it’s paying for six Newport stations, Sinclair agreed today to pay $40M for Tampa-based Bay Television. Sinclair shares are -1.6%. Privately held Cox is paying $302M for its four stations.
Here’s the release: Read More »
The suit at U.S. District Court in northern Texas involves an interesting quirk in Time Warner Cable’s retransmission consent dispute with Hearst, which since July 9 has left more than 2M cable customers in 11 markets without access … Read More »
It will take years before most ad sales will hit the peaks that TV stations saw in 2007, Moody’s Investors Service analyst Carl Salas says this morning in an industry report. Local businesses have been slow to increase their spending after the economy tanked in 2008 and 2009 — and now broadcasters must compete for those dollars against websites, social media, digital displays and other emerging media. Sure, stations will see some extra cash from retransmission consent deals with pay TV providers. But it won’t be a windfall: Major networks are demanding reverse compensation agreements from their affiliates, giving the national broadcasters much of the dough collected by the stations that they used to pay to carry their programs. Read More »
The nine-station acquisition includes ABC affiliates in Denver, Indianapolis, San Diego, and Bakersfield, CA. When the transaction is complete, 10 of Scripps’ 19 stations will be ABC affiliates – making it the largest independent owner of ABC stations. McGraw-Hill’s other stations are low-power affiliates of Spanish language network Azteca America. Wells Fargo analyst Marci Ryvicker says this morning that the terms are “a positive for the broadcast TV space” because they reaffirm the value of stations at a time when potential buyers are growing concerned about the prospects for the ad market. Nexstar is still looking to sell. McGraw-Hill wanted to unload its stations as it prepares to split into two companies, and deal with shareholder concerns that it has become too unfocused. Here’s the release: Read More »
The owner of 65 stations in 36 markets joins McGraw-Hill, Freedom, and Young Broadcasting in the ranks of TV owners looking for buyers. Analysts say that Nexstar could fetch about $1B. Its stations reach 11.6% of all households, and … Read More »