PHILADELPHIA–(BUSINESS WIRE)–Entercom Communications Corp. (NYSE: ETM), a leading media and entertainment company and one of the two largest radio broadcasters in the U.S., today announced a definitive agreement to acquire 101.1 MORE FM (WBEB-FM) from Jerry Lee Radio, LLC in Philadelphia, PA for $57.5 million in cash. The company also announced that it has entered into an agreement to divest 92.5 XTU (WXTU-FM) in Philadelphia, PA to Beasley Broadcast Group, Inc. (Nasdaq: BBGI) for $38.0 million in cash. The transactions are immediately accretive to Entercom and are leverage neutral.
The acquisition of WBEB-FM, Philadelphia’s #1 rated station, is a complementary addition to Entercom’s existing portfolio of leading stations in the market that includes KYW Newsradio 1060, SportsRadio 94WIP, 96.5 TDY FM, 98.1 WOGL and Talk Radio 1210 WPHT.
“We are very pleased to add the legendary WBEB, one of the country’s most recognized and awarded stations, to our group,” said David Field, President and Chief Executive Officer, Entercom. “It is a terrific addition to our lineup that will enhance our ability to serve our listeners, customers and the community. I tip my cap to Jerry Lee, one of the industry pioneers and a visionary leader who built B101 into such a special station and has done so much for radio over the decades. We are saddened to say goodbye to our colleagues at WXTU, but know that they will be in great hands.”
A Local Marketing Agreement for WXTU will begin Monday, July 23. The transactions are expected to close by the end of the third quarter of 2018.
Entercom was advised by MVP Capital, LLC on the WBEB transaction. Methuselah Advisors acted as financial advisor to WBEB-FM.
About Entercom Communications Corp.
Entercom Communications Corp. (NYSE: ETM) is a leading American media and entertainment company reaching and engaging over 100 million people each week through its premier collection of highly rated, award winning radio stations, digital platforms and live events. As one of the country’s two largest radio broadcasters, Entercom offers integrated marketing solutions and delivers the power of local connection on a national scale with coverage of close to 90% of persons 12+ in the top 50 markets. Entercom is the #1 creator of live, original, local audio content and the nation’s unrivaled leader in news and sports radio. Learn more about Philadelphia-based Entercom at www.entercom.com, Facebook and Twitter (@Entercom).
Source: Business Wire Entertainment News