SBS Buys KROI for $7.5 million

[Deleted member 108832]

I agree that 97.1 is better than the eastern rimshots, but.... i'm not going to get aboard the 89.3 divesture idea.

I'll put your drum in storage for the time being then.

Here is a Google Earth of the 60 dBu contours of KXBJ, KSBJ, and KTHT and a second without 89.3. Without KSBJ there is a huge hole in the coverage. Not going to happen. If Hope is the buyer of 97.1, they will divest KEHH in Livingston or repurpose it though.

Just going to make the mouse drop even sweeter. 😁

I really don't know what will become of 97.1, guys, but a little "fantasy booking" now and then does have its thrills.

 

[HTX]

Highly unlikely but what if they brought back NGEN on 91.7 and put VU on 97.1?

 

[Mediafrog+]

Highly unlikely but what if they brought back NGEN on 91.7 and put VU on 97.1?

Although lower powered, the 60 dBu contour of the closer 91.7 stick extends farther into the relevant area of Houston metro than that of the 97.1 signal, so I doubt HMG would move VU…and they are extremely unlikely to put NGEN back on FM.

 

[Loverofradio]

It’s unfortunate. If paired with a successful new country station, classic country can work in sales. Especially in Houston

 

[Ryan Williams]

It’s unfortunate. If paired with a successful new country station, classic country can work in sales. Especially in Houston

Like 93Q?

 

[Loverofradio]

Like 93Q?

Yup. If sold correctly, classic country has a very loyal fan base that spends money

 

[davideduardo]

Yup. If sold correctly, classic country has a very loyal fan base that spends money

But the demographics are out of the range desired by most advertisers.

 

[Loverofradio]

But the demographics are out of the range desired by most advertisers.

I see that. It’s just tragic that a demo that will actually spend money with advertisers not get served, desirable or not. I found it easy to sell because it was the closest music format that could come close to being a “passion buy”

 

[pjc1961]

SBS Hits Snag in Sale of Mega TV to Voz Media, which may affect ability of SBS to close purchase of KROI.
SBS has received an extension to mid-November to close the Mega TV sale, bumping up against the November 15, 2023 deadline to close the KROI deal.

SBS Hits A Snag In $64 Million Deal To Sell Mega TV.

Nearly seven months after Spanish Broadcasting System cut a deal to sell its Mega TV division to Voz Media, the $64 million deal has not closed following a series of

www.insideradio.com

 

[Mediafrog+]

SBS Hits Snag in Sale of Mega TV to Voz Media, which may affect ability of SBS to close purchase of KROI.
SBS has received an extension to mid-November to close the Mega TV sale, bumping up against the November 15, 2023 deadline to close the KROI deal.

I had noticed a few weeks ago that Voz Media had requested a 90 day extension of the consummation window for its purchase of the SBS broadcast TV licenses, and that the new deadline coincided with the KROI closing deadline.

Reading between the lines: Voz Media can’t come up with $64M to close the SBS deal.

Voz Media was also supposed to acquire Americano Media, which, among other things, provides programming for an anti-communist Spanish language talk format on WAXY in Miami. That deal hasn’t closed either, and Americano is reported to be literally running out of cash. Perhaps David Eduardo is more plugged into this situation.

I suppose the KROI closing could be pushed back again. Not a good look for SBS if they are unable to come up with $7.5M. I can see two dark-feathered birds circling overhead, named EMF and VCY, with a few more flying around in the distance, all waiting to pick over the carcass of the 92.1 deal.

Curious how long Sugarland Station Trust would keep the sale alive before pulling the plug and seeking a new deal elsewhere. We could be into the middle of 2024 with Praise still going on 92.1.

 

[RadioRonnie285]

I wonder how long this could drag on. I wonder if part of the reason the emf purchase of 97.1 was announced later was that emf still would prefer 92.1 for klove and would love to be the back up plan if sbs can’t get the money . A 92.1 97.1 klove simulcast would interesting

 

[Ryan Williams]

I wonder how long this could drag on. I wonder if part of the reason the emf purchase of 97.1 was announced later was that emf still would prefer 92.1 for klove and would love to be the back up plan if sbs can’t get the money . A 92.1 97.1 klove simulcast would interesting

I strong doubt that. I don't think there is any 4d chess being played here.

I think what happened is that SBS was just really excited to preannounce they were expanding into Houston. EMF doesn't typically announce acquisitions.

 

[davideduardo]

I strong doubt that. I don't think there is any 4d chess being played here.

I think what happened is that SBS was just really excited to preannounce they were expanding into Houston. EMF doesn't typically announce acquisitions.

SBS "announced" the deal when it was signed, in the same way that all deals are announce. Since the deal involved a first step by Urban One, there was no way to not announce the second step that had to be done for the whole deal to take place.

In any case, given SBS's cash flow, it looks like they could get some temporary financing and go ahead with the transaction since it is for a relatively small amount of money.

 

[Ryan Williams]

By "preannounce" I mean SBS announced their acquisition of KROI prior to the assignment application being filed with the FCC.

The APA between Radio One and SBS for KROI was dated April 3rd. The press release for Radio One acquiring the the Cox Houston cluster was on April 11th. A few days later the purchase price and the spinoffs were announced but not who the buyers were other than a statement that KROI was headed to a "minority-owned broadcaster". The press released from SBS announcing their entry was April 20th.

 

[lanceventa]

By "preannounce" I mean SBS announced their acquisition of KROI prior to the assignment application being filed with the FCC.

The APA between Radio One and SBS for KROI was dated April 3rd. The press release for Radio One acquiring the the Cox Houston cluster was on April 11th. A few days later the purchase price and the spinoffs were announced but not who the buyers were other than a statement that KROI was headed to a "minority-owned broadcaster". The press released from SBS announcing their entry was April 20th.

Most major sales are announced publicly when the APA's are agreed to before they are filed with the FCC. There's no conspiracy associated with it.

SBS had a sale in place for the TV division and was working on other acquisitions with the cash they were to receive that have fallen apart at least for now if not for good. They trusted Voz had financing and should the deal collapse there likely will be a termination penalty coming their way.

 

[Mediafrog+]

.SBS had a sale in place for the TV division and was working on other acquisitions with the cash they were to receive that have fallen apart at least for now if not for good.

Would be interesting to know what other markets SBS was considering...or maybe an additional signal or two in Houston? I have wondered if Estrella Media radio stations in Houston and DFW could be a target? It has been said that SBS doesn't want rimshots, but that is pretty much the only path to expand in Houston unless they are content having a stand-alone operation here.

Sounds like this deal might be in bigger trouble than first thought.

They trusted Voz had financing and should the deal collapse there likely will be a termination penalty coming their way.

Any idea of that that fee might be? Could be applied to the KROI purchase, though it might not be all that much.

 

[davideduardo]

It has been said that SBS doesn't want rimshots, but that is pretty much the only path to expand in Houston unless they are content having a stand-alone operation here.

SBS has stand-alones in several markets, such as Chicago and SF. They do fine in both. But about two decades ago, they learned that rimshots or Class A FMs were tough to run, and sold them all.

 

[Identnut]

Would be interesting to know what other markets SBS was considering...or maybe an additional signal or two in Houston? I have wondered if Estrella Media radio stations in Houston and DFW could be a target? It has been said that SBS doesn't want rimshots, but that is pretty much the only path to expand in Houston unless they are content having a stand-alone operation here.

I can tell you one station they'd like to buy. WAEL in Western Puerto Rico to make it a rebroadcaster of WRXD and not have to use a translator.

 

[lanceventa]

Any idea of that that fee might be? Could be applied to the KROI purchase, though it might not be all that much.

Only the $19 million sale of the TV licenses was filed with the FCC. Not the remainder of the deal for the Mega TV assets. In that filing, SBS would get the $3.8 million currently in escrow.

I can tell you one station they'd like to buy. WAEL in Western Puerto Rico to make it a rebroadcaster of WRXD and not have to use a translator.

They were thinking a lot bigger than Ponce.

https://www.threads.net/@radioinsightcom/post/CuXzaxbOqDO

 

[Engineering]

SBS "announced" the deal when it was signed, in the same way that all deals are announce. Since the deal involved a first step by Urban One, there was no way to not announce the second step that had to be done for the whole deal to take place.

In any case, given SBS's cash flow, it looks like they could get some temporary financing and go ahead with the transaction since it is for a relatively small amount of money.

Regardless of what has been "signed," has money changed hands?