WKYT | Lexington, Kentucky | News, Weather, Sports

Cumulus Media To Be Bought Out

ATLANTA (AP) - Cumulus Media, the second-largest US radio company, says it has agreed to be bought by an investor group led by Chief Executive Lewis Dickey and Merrill Lynch Private Equity for more than 507 million dollars.

Under terms of the deal, shareholders will receive eleven dollars, 75 cents a share, a premium of 40 percent over the stock's closing price Friday.

Cumulus puts the total value of the deal at one-point-three billion, including debt.

The news sent Cumulus shares soaring 37 percent to a new 52-week high.

The buyers anticipate closing the transaction in early 2008, pending regulatory and other customary conditions.

The nation's largest radio company, Clear Channel Communications, agreed earlier this year to be taken private in a 19-point-six billion dollar buyout.

(Copyright 2007 by The Associated Press. All Rights Reserved.)


Comments are posted from viewers like you and do not always reflect the views of this station.
powered by Disqus

WKYT

2851 Winchester Rd. Lexington, Ky 40509 859-299-0411 - switchboard 859-299-2727 - newsroom
Gray Television, Inc. - Copyright © 2002-2014 - Designed by Gray Digital Media - Powered by Clickability 8680922