Westwood One and Dial Global announced plans to merge through a stock-for-stock transaction.
The deal is expected to close in the fourth quarter, after the Hart-Scott-Rodino Antitrust Improvements Act’s required waiting period is up.
The New York Times reported that Westwood One — controlled by the Gores Group, while Dial Global is a portfolio of Oaktree Capital Management — will become a joint entity that has yet to be named. It will be listed on Nasdaq. The Times also quoted a DealBook report that the value of the deal is about $250 million and that Oaktree will hold a majority stake in the merged company.
Debt financing in support of the merger was provided by General Electric Capital Corp., ING Capital LLC and Macquarie Capital. Kirkland & Ellis and Skadden Arps Slate Meagher & Flom acted as legal advisors to Dial Global and Westwood One, respectively.
Both companies played up in press releases that the merger will create a complementary portfolio of programming assets, beneficial to customers and clients.