Field: CBS Was Always Our Optimal Target

0

During his Q4 earnings call, Entercom CEO David Field said he looked at buying both ABC and Citadel but was discipline enough to pass on those deals due to price, leverage and asset composition issues. “CBS has always represented the best fit, the strongest brands, people and culture and the optimal combined platform for the future.”

Field went on to say that it is quite gratifying that the stars aligned to allow this deal to come together as a great win-win with an optimal structure for both companies and our current and future shareholders. “In the three weeks that have transpired since the announcement we have become even more excited and confident about this game changing combination. The merger will create a leading local media and entertainment company with a preeminent radio platform covering almost all of the country’s top 50 markets and including many of the most iconic radio brands and most popular local personalities.”

Field said there will be $25 million in synergies (also known as cost-savings) and the new company will have revenue of roughly $1.7 Billion. He said, “for the first time in many years there will be a mid-cap, well capitalized radio broadcasting company for investors.”

Field said both CBS and Entercom are all about local. They share common values and highly compatible cultures.

To date Field and his leadership team have visited 14 CBS markets, “to share our enthusiasm for the future.” He said the response has been terrific and the team is hard at work on the early stages of the transition. The Entercom/CBS merger is expected to close in the second half of the year.

LEAVE A REPLY

Please enter your comment!
Please enter your name here