In a complex, ailment industry changing deal, Cumulus Media has announced, after weeks of speculation, a series of major transactions that include: The acquisition of Dial Global, Inc. for $260 million in cash; the sale of 53 radio stations in 12 small and mid-sized markets to Townsquare Media for $238 million in cash and the swap with Townsquare Media of 15 radio stations in two small and mid-sized markets in exchange for the receipt of five stations in Fresno, CA.
The acquisition of Dial Global will add sports, news, talk, music and programming services content – enabling Cumulus to provide a wider variety of options to approximately 10,000 U.S. radio stations, other media platforms and international platforms. New content acquired through the Dial Global acquisition will include NFL, NCAA, NASCAR, Olympics, AP Radio News, NBC News and other popular programming.
“These transactions give us the necessary scale to provide the marketing and enterprise solutions our advertising and affiliate partners require,” said Cumulus CEO Lew Dickey. “Our goal is to be the leading producer of premium audio content distributed through multiple platforms while continuing to build our broadcast platform in the top 100 U.S. markets.”
The transactions are expected to close in the fourth quarter of 2013, pending regulatory approval.