CBS Radio signed an agreement today with Beasley to swap 13 CBS stations in Tampa, Fla., and Charlotte, N.C., as well as one AM station in Philadelphia, for two of Beasley’s FM stations in Philadelphia and three stations in Miami.
The deal gives CBS a radio presence in Miami for the first time (the 11th largest radio market), while increasing the CBS Radio presence in Philadelphia (the 8th largest radio market) to six stations.
No money is exchanging hands as part of the agreement, which the parties expect to close in the fourth quarter.
CBS Radio President/CEO Dan Mason says the deal reinforces the broadcaster’s strategy to concentrate on large market properties. Noting the company already has television duopolies in Philadelphia and Miami, he said the new stations will complement CBS’ existing local broadcast portfolio.”
The transaction fulfills Beasley’s long-term strategy, as well, of “operating leading clusters in large- and mid-size markets,” according to company Chair/CEO George Beasley. He says the deal also addresses the goals of serving local communities, diversifying operations, managing risk and improving financial results.
CBS will get WKIS(FM), WPOW(FM) and WQAM(AM) in Miami, and also WRDW(FM) and WXTU(FM) in Philadelphia. Beasley will get WIP(AM) in Philadelphia; WHFS(AM), WHFS(FM), WLLD(FM), WQYK(FM), WRBQ(FM), and WYUU(FM) in Tampa; and WBAV(FM), WBCN(AM), WFNZ(AM), WKQC(FM), WNKS(FM), WPEG(FM) and WSOC(FM) in Charlotte.
In a note to clients Wells Fargo radio analyst Marci Ryvicker favored the deal, saying “Wethink it makes strategic sense for CBS to bulk up in larger markets.”