More Details Emerge About Radio Disney Sale Process
October 2, 2014 at 3:59 AM (PT)
THE DEAL has more details about the process by which RADIO DISNEY is selling 23 of its 24 stations via broker BILL SCHUTZ, citing an anonymous source that says THE WALT DISNEY CO. is selling stations individually or in small groups, has accepted verbal offers, and is in the contract stage for some stations.
The prospective buyers to date, according to the source, are all broadcasting companies, and sales of stations with multiple interested buyers will not be conducted with a bidding process, which broker ED SEEGER told THE DEAL is "going to take them a long time before they're able to liquidate those properties unless they're willing to take a major haircut because they actually overpaid for stations. They're not going to recoup those dollars."
And broker LARRY PATRICK noted that while some of the facilities are good, others are "average at best" and will draw "lots of little buyers" and religious and ethnic broadcasters like WILKINS, SALEM, ENTRAVISION and UNIVISION.
"I don't think you're going to see a big sale price on most of these," PATRICK told the site. "It's sort of like cleaning out your closet." But PATRICK also says that Sports KSPN-A/LOS ANGELES is on the block and particularly attractive; KSPN has previously not been mentioned as being for sale.