Nexstar Broadcasting Group, Inc. announced that it had entered into a definitive agreement to acquire four North Dakota CBS-Affiliated TV Stations for $44MM from Reiten TV, Inc.
The four sister stations that serve the broader Minot-Bismarck-Dickinson-Williston, ND market (DMA: 139) are KXMC (CBS, Minot, ND), KXMB (CBS; Bismarck, ND), KXMA (CBS; Dickinson, ND), and KXMD (CBS; Williston, ND). NXST will also provide sales and other services to two ABC-affiliated TV stations: KMCY (ABC; Minot, ND) and KBMY (ABC; Bismarck, ND) owned by Forum Communications.
The acquisition is expected to close in late 2015 or early 2016 (subject to FCC approval) and will be financed with cash and borrowings under its senior credit facilities The acquisition is immediately accretive. Including synergies, the $44MM purchase price represents a 6.2x average 2015/2016 BCF multiple. With this latest transaction, NXST will own, operate, program, or provide sales and other services to 114 TV stations in 59 markets or roughly 18.0% of US TV HHs (20.4MM).
Kalil & Co. is the broker for this transaction.
