Cumulus Media Partners And Susquehanna Complete Deal
May 5, 2006 at 11:35 AM (PT)
CUMULUS MEDIA PARTNERS has officially announced the completion of the acquisition of the radio broadcasting business of SUSQUEHANNA PFALZGRAFF CO. The deal, valued at approximately $1.2 billion, was completed today (5/5), and sees CUMULUS MEDIA enter into a management agreement with CUMULUS MEDIA PARTNERS, pursuant to which the management of CUMULUS will manage the operations of MEDIA PARTNERS’ subsidiaries.
In connection with this acquisition and the formation of MEDIA PARTNERS, CUMULUS contributed four radio stations (including related licenses and assets) in the HOUSTON and KANSAS CITY markets in exchange for membership interests in MEDIA PARTNERS.
We are ... excited to begin working with an enormously talented group of people to maximize the potential of these great assets
CUMULUS MEDIA PARTNERS will own and operate 33 radio stations in 8 markets including: SAN FRANCISCO, DALLAS, HOUSTON, ATLANTA, INDIANAPOLIS, CINCINNATI, KANSAS CITY and YORK, PA. Giving effect to the completion of this acquisition, CUMULUS MEDIA, directly or indirectly through its investment in CUMULUS MEDIA PARTNERS, will own or operate 345 radio stations in 67 U.S. media markets, making them the second-largest radio company in the U.S. based on station count. Headquarters for both companies are in ATLANTA.
CUMULUS Chairman & CEO LEW DICKEY will also serve as Chairman & CEO of MEDIA PARTNERS. Commented DICKEY, "We are pleased to announce the closing of this transaction and are excited to begin working with an enormously talented group of people to maximize the potential of these great assets."
Added SUSQUEHANNA PFALZGRAFF CO. Pres. & CEO WILLIAM SIMPSON, "The SUSQUEHANNA RADIO stations and their many outstanding employees have been a tremendous source of pride for our Company. Their reputation in the industry is unparalleled, and we wish them continued growth and success in the years ahead under the leadership of CUMULUS MEDIA PARTNERS."