Despite a six-month low in overall media and telecom transaction value, radio emerged as a bright spot in February, driving six of the ten largest deals in North America according to S&P Global Market Intelligence.
98 transactions were recorded last month, totaling only $115.2 million. This is a sharp contrast to the $3.31 billion in transactions reported in January.
Local radio transactions included Green Mountain Broadcasters LLC acquiring five FM stations, two AMs, and their FM translators across Vermont and New Hampshire. Additionally, Simcast Digital LLC purchased four FM stations and two AM stations in Arizona for $600,000, and Lakeland Media LLC acquired multiple Minnesota radio properties for $400k.
Despite the dip in transaction value, the number of deals remained relatively stable compared to prior months, suggesting that while major mergers stall, smaller radio acquisitions continue to offer value as economic uncertainty holds sway.
Even so, the news did little to assuage fears of another lean year of mergers and acquisitions. The US radio industry’s M&A activity continued to decline in 2024, with total transaction volume dropping to $198 million from $220 million in 2023, a sharp fall from $1.1 billion in 2019, according to BIA Advisory Services.
Broadcasters hope that FCC Chairman Brendan Carr’s new “Delete, Delete, Delete” initiative could clear the path for increased radio M&A by eliminating ownership subcaps, allowing broadcasters to own more stations in a market. Carr’s deregulatory push aims to remove outdated restrictions, which could, in turn, make consolidation easier and accelerate deal flow, particularly in larger markets where broadcasters seek scale.
This option could be further accelerated by an early Republican majority at the Commission, which will occur this spring as soon as Geoffrey Starks resigns or should President Trump fast-track the nomination of potential Commissioner Olivia Trusty.
M&A in RADIO??? Adding two turds together make the local radio stink even MORE!