Cincinnati-based Scripps said assets changing hands include Shop at Home's building and real estate, satellite uplink facilities, information technology systems, the network's call center, Web site and production studios. Scripps will take a charge of $35 million to $45 million to cover losses related to the transaction. The company said in February it would seek to sell the unit.
Jewelry Television also intends to assume a number of agreements that Shop at Home has with broadcast television stations and operators of cable and satellite television systems to carry the network's programming. The transaction is expected to be completed by the end of June.
Jewelry Television said it intends to continue scaled down operations of Shop at Home and will retain a number of the network's employees.
The transaction with Jewelry Television does not include the five Shop at Home-affiliated broadcast television stations that Scripps owns and operates in San Francisco, Boston, Cleveland, Raleigh-Durham, N.C., and Bridgeport, Conn. Scripps has retained the services of a broker and is actively seeking a buyer for the stations.
In the meantime, as part of the transaction, the five broadcast television stations will air a combination of Shop at Home and Jewelry Television programming.
On Wednesday, Scripps fell 12 cents to $45.44.