Alaska First Media Grows With Court-Approved BTC Deal

Alaska’s largest radio station group, with 11 properties serving all of Southeast Alaska, has emerged as the entity that will be purchasing nine stations and 14 FM translators in the cities of Ketchikan, Juneau and Sitka from bankrupt BTC USA Holdings Management.

Alaska Broadcast Communications has been the licensee of the following properties, which Alaska First Media, led by Cliff Dumas, is acquiring:

Concurrently, BTC USA Holdings Management Inc. — the lead entity in the bankruptcy — will be transferring these stations to Dumas’ group:

With Brooks Pierce attorneys Patrick Cross and Tim Nelson serving as legal counsel, Dumas scored ownership of the stations by way of a federal bankruptcy court order, issued by a Texarkana, Tex., judge in late February. Alaska First Media was the “stalking horse bidder” for the stations.

In an interesting twist, the court-appointed receiver of the stations was FTC Consulting Canada, as BTC USA Holdings Management defaulted on a loan valued at approximately $8.16 million CDN from Canada’s ATB Financial — thus requiring a Court of King’s Bench of Alberta decision approving the sale of the stations and a vesting order.

The fact that Dumas and Alaska First Media are getting the stations is hardly a surprise, as Dumas held 80% ownership in BTC USA Holdings Management before it declared bankruptcy.

What are the terms of the acquisition?

Dumas’ group is paying exactly $380,797.59 for the stations and related assets and $900,000 for real estate associated with the stations.

FTI received a nonrefundable good-faith deposit in the amount of $15,000.