SNL Kagan: Radio Station Deals Totaled $89.5 Million In First Quarter 2016
April 1, 2016 at 7:31 AM (PT)
S&P GLOBAL MARKET INTELLIGENCE's SNL KAGAN unit has released its estimates of broadcasting deals for first quarter 2016, with radio's station transaction volume at a low point since first quarter 2012 at $89.5 million.
The biggest deal was the $10 million sale by HOUSTON PUBLIC MEDIA of Classical KUHA-K217GB/HOUSTON to KSBJ EDUCATIONAL FOUNDATION, followed by the still-pending sale of Jazz-News-Talk KPLU/TACOMA and its accompanying repeaters and translators to the UNIVERSITY OF WASHINGTON for $8 million, and the sale of Sports (now South Asian) KFWB-A/LOS ANGELES by the KFWB ASSET TRUST to UNIVERSAL MEDIA ACCESS for $8 million, estimated at a 6.3x multiple.
The firm notes that the volume may see gains later in the year if CBS CORP. goes through with a sale or spin-off of CBS RADIO. And the market got a boost from the FM translator sales prompted by the FCC's AM Revitalization initiative; 447 FM translators (including 237 construction permits) were sold in first quarter 2016, as compared to 453 FM translators sold in all of 2015.