CBS sells radio stations to Entercom
One of the largest and highest rated American radio networks, CBS RADIO, is to be sold to the foruth largest owner of stations, ENTERCOM. The neas was announced on 2nd February 2017.
Entercom began in the late 1960s and currently runs 125 stations across a couple of dozen markets. It sees this merger as a consolidation and boosting of its earnings for shareholders and outlets for advertisers. Its share price showed gains of around 7% on the news that calls it "the creation of a pre-eminent radio platform."
Entercom's CEO David Field will run the new network, which is expected to get NYSE and FCC approval before Easter. “This agreement is great for shareholders and achieves our previously stated objectives by separating our radio business in the best possible way,” said Leslie Moonves, Chairman and Chief Executive Officer, CBS Corporation. “Entercom is a superbly run company, and together with CBS Radio’s powerful brands and remarkable people, we are creating an organization that will be even better positioned to succeed in this rapidly evolving media landscape.”
“These two great companies, with their impressive histories, complementary assets, and premier content and brands, are a perfect strategic and cultural fit, enabling us to deliver local connection on a national scale and drive accelerated growth," commented David J. Field, is to be in charge of the new combioned company. "We look forward to welcoming our talented new colleagues at CBS Radio, and we have the utmost respect for their significant contributions to the industry.”