DES MOINES, Iowa, Aug. 20, 2014 /PRNewswire/ -- Meredith Corporation (NYSE:MDP; www.meredith.com) today announced a definitive agreement to purchase the broadcast assets of WALA-TV, the Fox affiliate in Mobile (AL)- Pensacola (FL), from Media General, Inc. (NYSE:MEG) for approximately $86 million subject to certain purchase price adjustments. The transaction will close when Media General's merger with LIN Media LLC and the sale of WALA to Meredith receive final regulatory approval.
"The acquisition of WALA is consistent with our successful Total Shareholder Return strategy and will be immediately accretive to earnings," said Meredith Chairman and Chief Executive Officer Stephen M. Lacy. "This is a high-performing station that will add to our strong cash flow."
The addition of WALA, located in the nation's 59 th-largest television market, is the latest in a series of strategic broadcast television station acquisitions by Meredith. Earlier in 2014, Meredith closed on its acquisitions of KTVK-TV in Phoenix and KMOV-TV in St. Louis. In June, Meredith announced an agreement to purchase WGGB-TV in Springfield, Mass. Currently, Meredith owns or operates 15 television stations that reach over 10 percent of U.S. television households. Seven of Meredith's stations are located in Top 25 markets, and 13 are in Top 50 markets.
"WALA adds to our growing portfolio of quality stations in fast-growing markets," said Meredith Local Media Group President Paul Karpowicz. "Both Mobile and Pensacola are desirable destinations for tourism and relocation. And we are excited about the political advertising dollars that flow into Florida every cycle."The acquisition of WALA is not expected to have a material effect on Meredith's fiscal 2015 first half financial performance. Meredith continues to expect fiscal 2015 first-quarter earnings per share to range from $0.60 to $0.65, compared to $0.53 in the prior-year period. Meredith has been committed to service journalism for more than 110 years. Today, Meredith uses multiple distribution platforms – including broadcast television, print, digital, mobile, tablets and video – to provide consumers with content they desire and to deliver the messages of its advertising and marketing partners. Meredith's broadcast television portfolio includes:
- WGCL-TV (CBS) and WPCH-TV (TBS), Atlanta, GA (Market #9)
- KPHO-TV (CBS) and KTVK-TV (Ind.), Phoenix, AZ (#12)
- KMOV-TV (CBS), St. Louis, MO (#21)
- KPTV (FOX) and KPDX-TV (MYN), Portland, OR (#22)
- WSMV-TV (NBC), Nashville, TN (#29)
- WFSB-TV (CBS), Hartford & New Haven, CT (#30)
- KCTV (CBS) and KSMO-TV (MYN), Kansas City, MO (#31)
- WHNS-TV (FOX), Greenville- Spartanburg- Anderson, SC/ Asheville, NC (#37)
- KVVU-TV (FOX), Las Vegas, NV (#42)
- WNEM-TV (CBS), Flint- Saginaw, MI (#68)
- WSHM-LD (CBS), Springfield- Holyoke, MA (#114)