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Who Might Buy the CBS Spinoffs?

Who Might Buy the CBS Spinoffs?

More analysis on the stations CBS wants to spin off:
BIA Financial Network found that “they generate noticeable revenues in most of those markets, and, often, are the first or second group in terms of revenue market share.” Collectively, BIAfn estimates they generated $172.6 million in revenues last year.
The stations are geographically spread out. “For that reason alone, it is fascinating to consider who the potential buyers could be. A company could make a big splash and acquire all of the stations,” BIA continued. “Any such deal could be supported by a number of the larger private equity players that are showing increased interest in radio M&A. More likely, the most probable buyers will be other radio groups that focus on these particular regions of the country as their strategic focus.”
In all but one of these markets – San Antonio – the number of CBS stations is three or more, which BIA says would make it difficult for existing in-market radio operators to acquire the CBS stations.
“There are some notable exceptions, however. For example, in the Memphis radio market, Entercom only owns one AM and two FM stations, and under the local radio ownership rules, it could purchase the one AM and two FM stations that CBS is putting up for sale.”
Similarly, in San Antonio, BIA said, Border Media Partners and Clear Channel could purchase the CBS AM and FM stations while satisfying local ownership caps. “Additionally, several groups with radio stations in the Greensboro-Winston Salem-High Point, NC radio market – Clear Channel Communications, Curtis Media Group, Dick Broadcasting and GHB Broadcasting – could acquire the three CBS AM stations that are being sold.”
Meanwhile, BIA said several groups are interested in entering these markets. “For example, Regent Broadcasting owns radio stations in several other New York radio markets and would be ideally suited to acquire the Buffalo and Rochester CBS radio clusters. Cox Radio, who owns stations in the Dayton, Ohio, market, could have some interest in either or both the Cincinnati and Columbus markets. Jacor and Clear Channel radio executive Randy Michaels could even enter into the picture given his historic interest in Ohio radio properties. Finally, the Fresno, Calif., CBS stations may be somewhat attractive to groups that own stations in neighboring markets (e.g., Monterey, Visalia, etc.) such as Entravision or Mapleton Communications,” BIA concluded.