Just to be picky, the Cumulus/Townsquare deal is actually separate from the Dial Global deal, though they're doing one to help finance the other. It's actually four separate deals:
(1) Townsquare absorbs Peak Broadcasting in an all stock transaction. This really isn't much of a surprise and has been rumored for months. After Peak filed bankruptcy, Oaktree Capital, which owns the majority of Townsquare stock, got the vast majority of Peak.
(2) Townsquare buys multiple markets from Cumulus, including Cedar Rapids, Quad Cities and Waterloo, for around $230 million.
(3) Townsquare swaps its Fresno stations to Cumulus for Dubuque and Poughkeepsie, NY.
(4) Cumulus buys Dial Global for about $260 million.
Also, since Arbitron no longer rates Waterloo, Townsquare will have to spin that market off, except for KOEL (AM). Using contour overlap to calculate Waterloo stations, Townsquare calculated 37 in Waterloo, 4 of which are the Cedar Rapids/Iowa City stations it's acquiring from Cumulus. So, it's unable to expand into that market. Personally, I'd expect Woodward Communications to pick up KOEL-FM and KKHQ, but we'll have to see. I also wouldn't be terribly surprised to see Woodward being able to expand the map (and, thus, station market counts) a little due to its ownership of KXEL, which might give it a chance to add KCRR. However, we'll have to wait and see what ends up happening.
