This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

The Deal: Sinclair Adds Eight Allbritton stations

Stocks in this article: SBGI

NEW YORK ( The Deal) -- Sinclair Broadcast Group (SBGI) said Monday it agreed to acquire eight television stations from Allbritton Communications for about $985 million.

The assets changing hands include seven ABC affiliated stations that cover almost 5% of the U.S. television households that are located in the Birmingham, Ala.; Charleston, S.C.; Little Rock, Ark.; and Harrisburg, Pa., markets, among others. A round-the-clock news channel in Washington is also included in the deal.

Baltimore-based Sinclair said it will fund the acquisition by tapping a bank loan and/or accessing the public debt markets.

Arlington, Va.-based Allbritton hired Moelis & Co., Paul Hastings and Dow Lohnes in May to help sell the stations so it can focus on its Politico news Web site.

"We are thrilled to add the Allbritton properties to our growing portfolio and national footprint," Sinclair CEO David Smith said in a statement. "To buy a full-blown news operation in our nation's capital and an infrastructure that allows us to be connected to our branches of government and be at the pulse of national issues is a once-in-a lifetime event."

Sinclair has spent the year expanding its television portfolio through acquisitions. In June, it acquired four television stations from Titan Television Broadcast Group for about $115 million. In February it purchased 18 television stations from Barrington Broadcasting Group for about $370 million.

Sinclair said Monday's acquisition represents 8.7 times cash flow, including $21.5 million in synergies.

As a result of the Allbritton purchase, Sinclair said it will sell already existing stations in Charleston, Harrisburg and Birmingham to help comply with FCC regulations. Sinclair expects to complete the deal by the end of the year, pending regulatory approval.

Sinclair shares were trading 1.4% higher, to $30.22, on Monday afternoon, giving it a market capitalization of about $2.5 billion.

Written by Demitri Diakantonis.

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,959.44 +154.64 0.87%
S&P 500 2,078.54 +7.89 0.38%
NASDAQ 4,781.4240 +16.0440 0.34%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs