Connoisseur Moves To Assume Debtor's Bid To Buy 10 Nassau Stations, Including WPST
November 21, 2012 at 3:55 AM (PT)
The debtor group that applied to take over 10 NASSAU BROADCASTING stations in NEW JERSEY and PENNSYLVANIA in bankruptcy has moved in U.S. Bankruptcy Court to assign its right to buy the stations to JEFF WARSHAW's CONNOISSEUR MEDIA. NB BROADCASTING LLC, headed by DOUGLAS A. PLUSS, made a credit bid (by NASSAU's lenders led by GOLDMAN SACHS) of $38.7 million plus $1,633,890 for administrative costs and assumption of liabilities for the stations, which include Top 40 WPST and Religion WCHR-A/TRENTON; Spanish Sports WNJE-A (ESPN DEPORTES RADIO)/FLEMINGTON, NJ, Classic Hits WODE-F (99.9 THE HAWK)/EASTON, PA; Sports simulcast WEEX-A/EASTON, PA-WTKZ-A/ALLENTOWN, PA (ESPN 1230 AND 1320); Religion WBYN-A (THE LIGHT 1160)/LEHIGHTON, PA; Active Rock WWYY (107 THE BONE)/BELVIDERE, NJ; and Talk WVPO-A and Hot AC WSBG/STROUDSBURG.
"Rather than proceeding to close the section 363 sale transaction," the motion says, "the Agent has spent considerable time and effort over the past several months in an effort to attract a satisfactory purchaser who is willing to take an assignment of the Agent’s successful section 363 bid for such radio broadcast assets. As part of this process, the proposed purchaser (CONNOISSEUR) has requested that it be permitted to enter into a local programming and marketing agreement with the Debtors for the 10 stations which are the subject of the transaction and pending regulatory approval of the underlying sale – and, hopefully, approval – of the transfer and assignment of the licenses and a section 363 sale closing."
CONNOISSEUR has proposed an LMA before closing, paying $200,000 for each of the first two months, $100,000 for each of the third and fourth months, and $500,000 per month after that until closing or termination. The licensee will have the option to program 6-8a SUNDAY mornings.