I am putting a new FM cluster on the market. The group has solid ratings and revenue between $2 million and $3 million. It is a confidential, exclusive listing. If you would like to receive and NDA, please get in touch. George@MediaServicesGroup.com
George
Media Services Group
Tuesday, August 30, 2011
Monday, August 29, 2011
Media Services Group did more deals than anyone in the first half of 2011 (again)
The August 24 issue of SNL Kagan’s Broadcast Investor: Deals & Finance announced mid-year Broker Rankings. Media Services Group is back in our usual spot as the media broker which handled more transactions than any other (16 deals representing 30 stations), almost two-to-one over the firm next in line.
Media Services Group is a leading national media brokerage firm specializing in radio/TV stations, their digital assets, and communication towers. The firm has served broadcasters, broadcast investors, tower owners, and lenders for almost twenty-two years with professional brokerage, valuation, and workout consulting services. We close deals via our national footprint of ten offices with a regional focus.
If you would like to get together during the NAB Radio Show in Chicago, the Media Services Group suite will be at the Hyatt, Wednesday through Friday, September 14 -16. Get in touch to arrange a confidential meeting.George
Media Services Group
David Oxenford: Securing a Loan to a Broadcaster
David Oxenford has penned an informative post in Davis Wright Tremaine's "Broadcast Law Blog" on "Securing a Loan to a Broadcaster - Part 1 - FCC Case Clarifies How a Creditor Enforces Its Rights After a Default." This is good information for both lenders and borrowers; know the facts!
Click HERE
George
Media Services Group
Click HERE
George
Media Services Group
Friday, August 19, 2011
Wall Street's Wild Ride
A common discussion theme in recent weeks has been the impact of the ongoing stock market volatility/wealth destruction on station trading and values. While the gyrations have certainly exacted a psychological toll, I do not believe that they have hindered private market station trading and valuations. Yet.
At least so far, this has not been like Fall 2008, when the brakes were applied with full force. You will recall that at that time, there was some (genuine!) fear of a world-wide economic collapse. This time, the fear seems a little more future oriented (i.e. “we may still face major hurdles, but not this afternoon”). The bank weakness in Europe and the possible repercussions are bad, but not life-threatening. Likewise, the spending problem in Washington is curable once the politicians grow the backbone to actually deal with it.
I think the real and immediate fallout to broadcasters is the fear on Main Street created by this economic roller-coaster. Job cuts, taxes, over-regulation, and poor visibility are forcing companies to think twice before committing marketing budgets. The broadcasters have been pretty immune to these cuts so far, but that immunity will not last much longer.
Station trading, while up over the last two years, remains tepid. The banks are mostly hunkered down on the sidelines and the current turmoil may result in them staying there longer than they might have otherwise. That will most definitely hinder station trading and pricing. The deals that are currently getting done tend to fall into two broad categories: 1) Distress sales and 2) Seller financed small market transactions. Look for that trend to continue.
Our view on multiples continues to be in a range of 6x – 8x, with the few deals which are actually getting done falling in the mid-7s. If the chaos on Wall Street continues and the “double-dip recession” prospect increases, look for the multiples to drop. But it hasn’t happened yet.
Bottom line: the damage so far is mostly attitudinal (read “fear”). But if capital continues to vaporize, we’re in for a long, difficult second half. And as for visibility, we’re already flying on instruments. Main Street cannot and will not ignore Wall Street forever.
George
Media Services Group
At least so far, this has not been like Fall 2008, when the brakes were applied with full force. You will recall that at that time, there was some (genuine!) fear of a world-wide economic collapse. This time, the fear seems a little more future oriented (i.e. “we may still face major hurdles, but not this afternoon”). The bank weakness in Europe and the possible repercussions are bad, but not life-threatening. Likewise, the spending problem in Washington is curable once the politicians grow the backbone to actually deal with it.
I think the real and immediate fallout to broadcasters is the fear on Main Street created by this economic roller-coaster. Job cuts, taxes, over-regulation, and poor visibility are forcing companies to think twice before committing marketing budgets. The broadcasters have been pretty immune to these cuts so far, but that immunity will not last much longer.
Station trading, while up over the last two years, remains tepid. The banks are mostly hunkered down on the sidelines and the current turmoil may result in them staying there longer than they might have otherwise. That will most definitely hinder station trading and pricing. The deals that are currently getting done tend to fall into two broad categories: 1) Distress sales and 2) Seller financed small market transactions. Look for that trend to continue.
Our view on multiples continues to be in a range of 6x – 8x, with the few deals which are actually getting done falling in the mid-7s. If the chaos on Wall Street continues and the “double-dip recession” prospect increases, look for the multiples to drop. But it hasn’t happened yet.
Bottom line: the damage so far is mostly attitudinal (read “fear”). But if capital continues to vaporize, we’re in for a long, difficult second half. And as for visibility, we’re already flying on instruments. Main Street cannot and will not ignore Wall Street forever.
George
Media Services Group
Thursday, August 4, 2011
The late Rick Buckley as he was inducted into the NY State Broadcasters Hall of Fame
We lost a good broadcaster and a good guy when Rick Buckley passed away. He was inducted into the New York State Broadcasters Hall of Fame recently. Here is a video of the presentation and his remarks: Click HERE
The Broadcasters Foundation has established the Rick Buckley Memorial Fund. Click HERE for details.
George
Media Services Group
The Broadcasters Foundation has established the Rick Buckley Memorial Fund. Click HERE for details.
George
Media Services Group
Tuesday, August 2, 2011
Atlantic City cluster sale closes ($4.2 million)
Longport Media has completed the acquisition of the assets of radio stations WBSS-AM, WMGM-FM, WOND-AM, WTKU-FM, and WWAC-FM.
Tom McKinley and I represented the seller (Atlantic Broadcasting of Linwood NJ, LLC-Debtor in Possession).
George
Media Services Group
Tom McKinley and I represented the seller (Atlantic Broadcasting of Linwood NJ, LLC-Debtor in Possession).
George
Media Services Group
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