Cumulus, Townsquare Swap Involves 65 Stations, 13 Markets, $116 Million Cash
April 30, 2012 at 5:47 AM (PT)
CUMULUS MEDIA and TOWNSQUARE MEDIA are swapping stations in 13 markets, with CUMULUS trading 55 stations in 11 markets for 10 stations in two markets plus $116 million. The deal is expected to close in the second half of 2012.
The swap will see CUMULUS' clusters in AUGUSTA-WATERVILLE, ME, BANGOR, ME, BINGHAMTON, NY, BISMARCK, ND, GRAND JUNCTION, CO, KILLEEN-TEMPLE, TX, NEW BEDFORD, MA, ODESSA- MIDLAND, TX, PRESQUE ISLE, ME, SIOUX FALLS, SD, and TUSCALOOSA, AL going to TOWNSQUARE in exchange for TOWNSQUARE stations in BLOOMINGTON and PEORIA, IL and the $116 million payment.
"This transaction represents a continued investment in the local media business in small and mid-sized markets," said TOWNSQUARE Chairman/CEO STEVEN PRICE. "We are excited to continue to add premier assets to our portfolio. The strength and depth of the acquired assets represent an excellent addition to TOWNSQUARE MEDIA and we are excited to add new advertising partners and to broaden our audience reach."
"This transaction represents strategic portfolio management which enables us to focus on accretive large market consolidation as well as further de-leveraging of our balance sheet," said CUMULUS CEO LEW DICKEY.