With its eye on the upcoming TV spectrum auction, Spanish Broadcasting System received the OK from the Federal Communications Commission to swap several of its radio stations in Puerto Rico with International Broadcast Corp.
“As we have previously disclosed, we exercised our option to swap three of our radio stations in Puerto Rico, WIOA(FM), WZET(FM) and WIOC(FM), plus $1.9 million for three full-power television stations in Puerto Rico, WTCV(DT) Channel 32, WVEO(DT) Channel 17 and WVOZ(DT) Channel 47, with International Broadcast Corp.,” it stated. SBS said it now has FCC approval for this assignment of licenses and expects to close the transaction shortly.
“The transaction will qualify as a like-kind exchange under Section 1031 of the Internal Revenue Code,” SBS stated, adding that it intends to participate in the FCC’s television spectrum incentive auction with the three acquired licenses “to monetize the potential excess value of the station swap option and maximize the potential cash proceeds that are expected to be created by the auction process.”
SBS owns 20 radio stations and operates the AIRE Radio Network; it also owns MegaTV, a television operation with over-the-air, cable and satellite distribution and affiliates, and produces concerts and events.