R&R: Cumulus Media emerging as the winning bidder may be premature
> > Can someone explain why 99x & Q100 will go completely away
>
> > if/when Susquehanna sells of it's radio stations?
> >
> > I don't really understand how the sale of Susquehanna's
> > radio stations means that their market 11 stations will
> shut
> > down.
>
> It doesn't, unless Cumulus thinks that 99X and Q100 are
> underperforming assets that could be more profitable in a
> different format. I think that's pretty unlikely, since
> both stations do pretty well in their target demo.
>
http://www.radioandrecords.com/Newsroom/2005_10_07/susquehannasale.asp
Friday, Oct. 7, 2005
Susquehanna Sale Decision Expected Soon
A source close to the negotiations tells R&R that an announcement on the buyer — or buyers — for Susquehanna Radio's stations will likely come "within a week or two," but cautioned that rumors of Cumulus Media emerging as the winning bidder may be premature.
The source noted that if the group led by current Susquehanna Radio COO David Kennedy could assemble funding for both the radio and cable assets, it would stand a solid chance of winning both. However, the source said that if Comcast wins the bidding for Susquehanna's cable division — which is a likely scenario — Kennedy's group would be at risk of being outbid on the radio group.
The source also noted that Susquehanna's radio group might be divided up among a few bidders since some clusters — such as Kansas City — would be attractive to many suitors.
Cumulus was named as the front-runner to buy the whole radio group in a New York Times article published today, but a Cumulus rep declined to comment when contacted by R&R. A call to Susquehanna wasn't immediately returned.
Entercom and Citadel have also been mentioned as active bidders for Susquehanna's radio assets, along with Bonneville, Cox, Greater Media and NextMedia. Emmis is also rumored to have made a late run at the assets, and there's talk that Clear Channel may be eyeing the Kansas City cluster since it's the only top-30 market, besides Puerto Rico, where the company doesn't currently operate.