LocusPoint snaps up another Class A TV
Rapidly-expanding LocusPoint Networks LLC is picking up its eighth Class A television station and second in Detroit in a deal with TCT of Michigan Inc. The buyer is seen as a likely participant in the upcoming incentive auctions.
The station being bought this time is Channel 18 WDWO-CD Detroit, which LocusPoint is picking up for $4M cash. The buyer is headed by William deKay and Ravi Potharlanka.
A study by SNL Kagan identified $344.8M in station acquisition value that seems to have been spend with the auctions in mind. LocusPoint was cited as one of the big spenders, along with NRJ TV and OTA Broadcasting. LocusPoint is the newest entrant into the arena, having only started snapping up properties late last year.
The Detroit acquisitions could be particularly lucrative, given the city’s close proximity to Canada. Clearing spectrum in locations along both national borders is subject to exceptional challenge compared to other locations due to the need for international agreement before proceeding.
WDWO will join WUDT-CD Detroit in the LocusPoint portfolio. It also has acquired two Class As in Tampa-St. Petersburg, and one each in San Francisco, Philadelphia, Orlando and Baltimore. The current deal brings its total investment to $30.2M.
Greg Guy of firm Patrick Communications handled brokerage chores.