On June 26, a long-expected agreement to sell Cox Media Group‘s radio station portfolio — as well as its CoxReps and Gamut national advertising businesses — to a new broadcasting company that is substantially owned by private equity funds managed by affiliates of Apollo Global Management came to pass.
The announcement came following a March 4 filing with the FCC of transfer of control applications that consummation of two separate transactions. The first involves the Apollo Global Management-controlled Terrier Media Buyer Inc., and its its February 15 agreement to take a majority interest in Cox’s TV stations and all Dayton-based holdings in a $3.1 billion transaction. The second sees Terrier adding in the assets of Brian Brady-helmed Northwest Broadcasting, acquired by Terrier for $340 million.
The Media Bureau has now established a pleading cycle for the transfer of control of Cox Radio, which has already been done for Cox’s TV stations and Dayton holdings.
Separately, it also wants the public to comment on a petition to increase the foreign investment threshold for Terrier.
First, the Media Bureau set a petition to deny date of August 12 for Cox’s applications that seek Commission consent of the proposed transfer of control of its 50 AM and FM radio stations to Terrier Media, which will keep the CMG name following the deal.
To get this transaction done, Cox has agreed to divest WSUN-FM “97X” in the Tampa market and WPYO-FM “Power 95.3” in the Orlando DMA. CMG is transferring the stations to CXR Radio, whose sole member is Elliot B. Evers, the co-founder of San Francisco-based MVP Capital.
The Opposition Date in what is now MB Docket No. 19-197 is August 22.
The Reply Date is August 29.
As previously reported, newly created Terrier Media, which will take on the Cox Media Group name, will become the 100% indirect owner of licensee Cox Radio.
AP IX Titan Holdings L.P. will hold 77% of the stock of Terrier Media Holdings, which, through a series of intermediate holding companies will control Terrier Media.
The majority of the remaining stock in Terrier Holdings will be held by Cox Enterprises and “other entities.”
The successor company’s key leadership will be comprised of, on the Titan side, Scott Kleinman, John Suydam, and David Sambur. All are U.S. citizens. However, Apollo Global Management is treated as foreign-owned by the Commission, as the voting interests of its U.S. owners are held through a Cayman Islands entity.
This explains why, in a Petition for Declaratory Ruling filed with the FCC, Terrier Media seeks Commission authorization for foreign investors, including existing investors and/or AGM, to own up to 100% of Terrier Media’s equity and voting interests and, to the extent the Commission determines appropriate, up to 100% of AGM’s equity and voting interests.
This separate filing is MB Docket No. 19-196.
The Comment Date is August 12; the Reply Date is August 27.
