Last year media mogul Byron Allen was accused of falling behind on his broadcast fees to ABC, CBS and NBC after buying more than 20 TV networks [click here if you missed that].
Now Allen has put his TV empire up for sale...
Byron Allen is putting his local TV stations up for sale.
Allen’s Allen Media Group (AMG) says that it has hired the investment bank Moelis & Company to market its local stations, which are comprised of 28 ABC, NBC, CBS and Fox affiliated stations in 21 markets.
AMG owns stations in Honolulu, Hawaii; Madison, Wisconsin; Montgomery, Alabama; Flint, Michigan; and Tucson, Arizona, among other cities. The company says that it will use the cash generated from any sale to “significantly reduce” its outstanding debt.
“Six years ago, Allen Media Group began the process of investing over one billion dollars to acquire big four network-affiliated television stations. We have received numerous inquiries and written offers for most of our television stations and now is the time to explore getting a return on this phenomenal investment,” said AMG founder and CEO Byron Allen. “We are going to use this opportunity to take a serious look at the offers, and the sale proceeds will be used to significantly reduce our debt.”
The company has had to undergo cuts over the last year or so as it has grappled with a rapidly changing media environment. In February it refinanced its $100 million revolving credit facility to give it more runway to execute.
The sale plans, cuts and refinancing are indicative of many of the issues facing linear TV companies, which are feeling the pinch of cord-cutting )local stations are beneficiaries of retransmission fees, just like cable channels) as well as a more competitive advertising environment, with tech and entertainment giants moving toward more automated ad buying.
10 comments:
Good on him. At least he won't be pimped by the Trump's administration.
what ever happened with his billion dollar lawsuit against McDonald's?
This is why I never understood the stuff about Cosby and NBC. Cosby wasn't able to purchase the entire network, but, like Allen, he may have been able to purchase affiliates. *shrugs*
@9;08 am, This have nothing to do with Trump or any Presidents before him
They never let a black man succeed in that industry Cosby .Michael Jackson ,etc
I wonder what Mr Allen did behind the scenes that allowed him to get this far
There was never a "Cosby-NBC" thing. Cosby didn't have that kind of money.
He might have used a Yt man to stand in for purchase. LOLO
I don't know how Allen's assets are financed, but supposedly Cosby pulled together a group of investors to buy NBC. Who was in the group, how much money was involved, and what happened to the group or the deal, I have no idea.
^That was a myth. Cosby "wanted" to buy NBC but there was not the billionaires around then to help him.
Got money ran to the Caucasian wife. May he get what he gave
Why would you pay broadcast feels even no one cares to watch those broadcasts anymore? Get you a tech partner Byron.
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