Nexstar buys Media General

[Mr Tony]

http://www.tvnewscheck.com/article/91865/nexstarmedia-general-its-a-done-deal

As expected, Nexstar Broadcasting Group and Media General have reached a deal by which Nexstar will pay $17.14 per share in cash and stock for Merger General.The merger creates a new mega-group with 171 stations in 100 markets serving 39% of TV households. Current Media General shareholders will also be entitled to the proceeds from the sale of any Media General spectrum in the FCC's incentive auction. The parties have agreed to pay Meredith $60 million to terminate its competing merger agreement with Media General.

Nexstar Broadcasting Group and Media General have entered into a definitive merger agreement whereby Nexstar will acquire all outstanding shares of Media General for $17.14 per share in cash and Nexstar stock, it was announced this morning.


The price represents a 54% premium over the closing share price of Media General on Sept. 25, 2015, the last trading day prior to Nexstar announcing its interest in acquiring Media General.

The deal is valued at $4.6 billion, including assumption of Media General debt, and is subject to regulatory (FCC and Department of Justice) and shareholder approval.


With 171 full-power television stations in 100 markets, Nexstar Media Group, as the new company will be known, will reach approximately 39% of all U.S. TV households


The Nexstar-Media General deal follows the termination of a competing merger proposal between Meredith Corp. and Media General.

 

[Mr Tony]

Upon completion of the transaction, expected late in the third quarter/early in the fourth quarter of 2016, Media General and Nexstar shareholders will hold approximately 34% and 66%, respectively, of the combined company’s outstanding shares.

The new Nexstar Media Group will be one of the nation’s leading providers of local news, entertainment, sports, lifestyle and network programming and content through its broadcast and digital media platform with annual revenue in excess of $2.3 billion, the parties said.

 

[Mr Tony]

pdf from Nexstar

 

[localclassictvfan]

Well that makes it interesting. I cant wait to see who buys KLFY

 

[jegrant]

They expect higher retransmission payments "Media General Sub counts will be billed at Nexstar rates" I wonder if Charlie Ergen will offer to pay the Media General rate for all their stations

 

[localclassictvfan]

According to Rabbitears WSLS, KLFY, WBAY, WANE, and a couple others still have Media General as the ownership. I assume we'll get sold to someone else

 

[danristheman]

What does it mean for the fort wayne market wfft and wane?

 

[Mr Tony]

According to Rabbitears WSLS, KLFY, WBAY, WANE, and a couple others still have Media General as the ownership. I assume we'll get sold to someone else

speculation. Since Nexstar already is in the market those are the "outcasts"

 

[Mr Tony]

What does it mean for the fort wayne market wfft and wane?

Assuming Nexstar keeps WFFT they will have to sell off WANE to someone else (you cant own more than one of the Big 4 nets in a market if they are full power stations).

I'm sure Nexstar has something in the pipe for the markets that have now more than 1.
-They can sell it outright to someone
-they can "trade" it to someone for a station in a market that Nexstar isnt in
-they could move the programming of the "Main" station to a sub of their existing station

This doesnt close until the end of the year.,......so lots of time

 

[Justin Hill]

According to Rabbitears WSLS, KLFY, WBAY, WANE, and a couple others still have Media General as the ownership. I assume we'll get sold to someone else

I'm guessing they might have to let go of WFRV/WJMN and keep WBAY before the deal is finalized. WFRV and WJMN will have to find new ownership together, since both are semi-satellites of one another. WFRV, Channel 5, serves the Green Bay, Wisconsin area, where their sister, WJMN, Channel 3, serves Marquette, Michigan. Both have similar branding. I assume, if anyone gets sold in Green Bay, it would be WFRV/WJMN.

 

[danristheman]

Thanks Ice hopefully someone buys up wane and maybe we get some more subs.

 

[Mr Tony]

I'm guessing they might have to let go of WFRV/WJMN and keep WBAY before the deal is finalized. WFRV and WJMN will have to find new ownership together, since both are semi-satellites of one another. WFRV, Channel 5, serves the Green Bay, Wisconsin area, where their sister, WJMN, Channel 3, serves Marquette, Michigan. Both have similar branding. I assume, if anyone gets sold in Green Bay, it would be WFRV/WJMN.

Since Nexstar already owns WFRV why would they get rid of it?
I think they would want CBS over ABC.

 

[Mr Tony]

Thanks Ice hopefully someone buys up wane and maybe we get some more subs.

Like I say its a "wait and see" thing. Lots of time to have things happen.

 

[Trip]

If you read between the lines in some of the press, it sounds like Meredith wants first dibs on the stations Nexstar has to sell.

- Trip

 

[localclassictvfan]

If you read between the lines in some of the press, it sounds like Meredith wants first dibs on the stations Nexstar has to sell.

- Trip

I read that yesterday too...I just have this thing or wish about Scripps-Howard buying out KLFY and adding Laff, Cozi, and Escape (not being silly or anything). However most Meredith owned Stations have the same. So it's a win win for us and WBAY......When I seen your updates yesterday I said damn wow what's all this then I went to KLFY's history on rabbit ears and seen MG down to 6 stations I knew the big deal was sealed. However on a side note if Meredith does get the 6 left (the ones Nexstar has to sell) heck the "Cozi Saga" might be a reality still. We'll see come next year because I'm sure it will take months to straighten this out...

thanks trip....

 

[localclassictvfan]

What does it mean for the fort wayne market wfft and wane?

Dan, according to rabbitears WANE, KLFY, WBAY, WSLS, KQWC, and WTHI, all still are under the Media General Name. I am no rocket scientist at this tv thing as you can tell by my posts the last few months, but what will most likely will happen since these Media General stations are in markets with a Nexstar owned station already, they will be sold or the main affiliate will move as a subchannel of the Nexstar owned station....look at Ice's post #9 above (reply to your comment)...So now we know what to expect when it comes time late in the year.

In our case you'd hope for the station to get sold to a scripps, hearst, tegna, Meredith, etc. or trade it to another. If the programming moves to the Nexstar affiliate then there is a possibility we could lose the station altogether (especially the subchannels), however Nexstar will look to sell or trade to make a few more (million) dollars.....I think this may turnout to be a good thing for me, you, and the other 4 markets above.....

 

[localclassictvfan]

Ice I posted the tv newscheck article of Nexstar buying out MG (KADN owner (Nexstar) buys out KLFY owner (Media General) ). my fb messenger has blown up. A lot of people are worried.....I told them I have a website with smart people keeping tabs on this, no need to worry....

 

[Mr Tony]

Dan, according to rabbitears WANE, KLFY, WBAY, WSLS, KQWC, and WTHI, all still are under the Media General Name. I am no rocket scientist at this tv thing as you can tell by my posts the last few months, but what will most likely will happen since these Media General stations are in markets with a Nexstar owned station already, they will be sold or the main affiliate will move as a subchannel of the Nexstar owned station....look at Ice's post #9 above (reply to your comment)...So now we know what to expect when it comes time late in the year.

In our case you'd hope for the station to get sold to a scripps, hearst, tegna, Meredith, etc. or trade it to another. If the programming moves to the Nexstar affiliate then there is a possibility we could lose the station altogether (especially the subchannels), however Nexstar will look to sell or trade to make a few more (million) dollars.....I think this may turnout to be a good thing for me, you, and the other 4 markets above.....

I guess my explanation wasnt good enough so you needed to repeat it?

 

[Mr Tony]

If you read between the lines in some of the press, it sounds like Meredith wants first dibs on the stations Nexstar has to sell.

- Trip

That works. Sounds like it might be a smooth transition.

 

[Mr Tony]

We'll see come next year because I'm sure it will take months to straighten this out...

.

as was posted in the 2nd post
Upon completion of the transaction, expected late in the third quarter/early in the fourth quarter of 2016,