13 ABC has been sold in $128 Million deal to Gray Television

Photo courtesy of 13ABC

Photo courtesy of 13ABC

From TVNewsCheck

Gray Television is buying ABC affiliates WTVG Toledo, Ohio and WJRT Flint-Saginaw-Bay City, Mich. from SJL Holdings for approximately $128 million in cash, the publicly traded station group announced this morning.

According to Gray, the stations lead their local markets in all-day ratings and in most, if not all, local newscasts.

“We are very excited to add two more outstanding, community-focused television stations and their growing, dynamic markets to the Gray portfolio,” said Gray CEO Hilton Howell in a prepared statement.

“Under SJL’s stewardship, these stations have grown their news operations, ratings, revenue, and income at very impressive levels. With Gray’s backing and the strong teams already in place in Flint and Toledo, WJRT-TV and WTVG-TV will enhance their leading local positions even further.”

The deal is another big score for George Lilly, who owns SJL Holdings. He bought the stations from ABC in 2010 for $30 million after having sold them to ABC for $120 million in 1995.

According to Gray, the purchase price represents a multiple of approximately seven times a blended average of 2012-2013 pro forma broadcast cash flow of the stations including expected synergies.

As such, Gray’s acquisitions will be immediately free cash flow accretive, the station group said.

Gray expects to finance the transaction with new term loans, cash on hand and/or by accessing the capital markets.

Gray said it plans to add a subchannel with a CW affiliation to WTVG.


Columnist, Writer for Radio Shows across the US & Canada, Promoter, Believer, Father

Tagged with: , , , , , , ,
Posted in Discussion, News, Toledo

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

Follow iHeartGlassCity on WordPress.com
Follow iHeartGlassCity on Twitter

Give us your email address and receive updates from "I <3 Glass City". Thank you for your support!

Join 3,406 other followers



Columnist, Writer for Radio Shows across the US & Canada, Promoter, Believer, Father

View Full Profile →

iHeartGlassCity Contributors
%d bloggers like this: