Published June 24, 2014
Maryland-based Sinclair agreed to sell the non-license assets of WTAT-TV, Fox 24, in Charleston to Cunningham Communications Inc., which owns the license assets. Sinclair also entered into an agreement to sell the assets of WHTM-TV, an ABC affiliate in Harrisburg, Pa., to Media General.
The companies are being sold for nine times the stations’ two-year average cash flow, according to a news release from Sinclair.
The sales are part of Sinclair’s deal to buy eight TV stations from Allbritton Communications Co. for $985 million. The sales were necessary to put Sinclair in compliance with regulatory rules for it to obtain approval of the Allbritton transaction, which it hopes to gain by July 27.
Sinclair anticipates it will be able to close on the Allbritton transaction in the third quarter, pending customary approvals and a waiver from the Federal Communications Commission.