Cumulus sells six Grand Junction radio stations
Six Grand Junction radio stations owned by Cumulus Media Inc. are included in the sale of 55 radio stations to Townsquare Media in exchange for $116 million and 10 radio stations in Illinois.
The Grand Junction stations are KEKB-99.9 FM, KOOL-107.9 FM, KMXY-104.3 FM, KKNN-95.1 FM, KDBN-101.1 FM and KEXO-1230 AM.
Atlanta, Ga.-based Cumulus, the nation’s second-largest broadcaster with roughly 570 stations, and Greenwich, Conn.-based Townsquare Media, which has about 200 stations, announced the swap Monday.
In addition to its Grand Junction market, Cumulus sold stations in Augusta, Maine; Bangor, Maine; Binghamton, N.Y., Bismarck, N.D.; Killeen-Temple, Texas, New Bedford, Mass.; Odessa-Midland, Texas; Presque Isle, Maine; Sioux Falls, S.D.; and Tuscaloosa, Ala. It gained 10 stations in Bloomington and Peoria, Ill.
Phil Jimenez, local market manager for Cumulus in Grand Junction, referred questions to the company’s corporate headquarters.
Cumulus officials said the transaction is part of the company’s plan to focus on radio stations in large markets and pay down its debt.
“This transaction represents strategic portfolio management which enables us to focus on accretive large market consolidation as well as further de-leveraging of our balance sheet,” Lew Dickey, chief executive officer of Cumulus, said in a statement.
Townsquare Media Chairman and CEO Steven Price said in a statement the sale represents a continued investment in small and mid-sized markets.
“We are excited to continue to add premier assets to our portfolio,” he said. “The strength and depth of the acquired assets represent an excellent addition to Townsquare Media and we are excited to add new advertising partners and to broaden our audience reach.”
The transaction is expected to close in the second half of this year, pending approval by regulators, the companies said.