Lotus Closes On Purchase Of Sinclair’s Seattle Radio Properties (original) (raw)
Update 9/28: Lotus Communications has announced it has closed on its purchase of News 1000 KOMO Seattle/97.7 KOMO-FM Oakville/97.7 K249DX Redmond, Hot AC “Star 101.5” KPLZ Seattle and Conservative Talk 570 KVI Seattle from Sinclair Broadcast Group.
Lotus Communications announced today that they have closed on the acquisition of Sinclair Broadcast Group, Inc’s radio stations in the Seattle, Washington metropolitan area. The deal includes News Radio KOMO 1000 AM & 97.7FM, KPLZ “Star” 101.5 FM, and Talk Radio KVI 570 AM.
Lotus First SVP Jim Kalmenson commented, “Today begins an exciting era as we begin working with the amazing staff at these heritage radio stations KOMO, KPLZ, and KVI. These are legendary stations which share Lotus’s vision of producing local programming to serve the community and support our hometown businesses. Seattle is home to several excellent broadcasting companies who have made this a great radio market.”
Richard A. Foreman Associates, Inc initiated the transaction and acted as exclusive broker representing Sinclair Broadcast Group.
Update 6/14: The FCC filing for Lotus Communications’ purchase of News 1000 KOMO Seattle/97.7 KOMO-FM Oakville/97.7 K249DX Redmond, Hot AC “Star 101.5” KPLZ Seattle and Conservative Talk 570 KVI Seattle from Sinclair Broadcast Group reveals a number of unique quirks to the deal.
At closing Lotus will pay just 5millionincashforthestations.Theremaining5 million in cash for the stations. The remaining 5millionincashforthestations.Theremaining13,058,604 will come at Lotus’ choice in either cash or advertising made available to Sinclair owned properties on 21 of Lotus’ English language stations in Bakersfield, Boise, Fresno, Las Vegas, Reno, Seattle and Tucson. If Lotus sells any of those 21 stations, Lotus can transfer the obligations of that station to carry the Sinclair advertising with it.
Lotus will not receive the rights to the KOMO and KOMO-FM call letters as Sinclair will retain exclusive rights to them for their KOMO-TV.
The deal also includes a Transition Agreement allowing Lotus to utilize Sinclair’s traffic systems, IT and web services, human resources, and microwave for up to 18 months as needed for a share of the costs. The company can also sub-lease the station’s current studios during that term if needed.
Original Report 6/3: Sinclair Broadcast Group is selling its four radio stations in Seattle to Lotus Communications for $18 million.
The deal will see Lotus acquire News 1000 KOMO Seattle/97.7 KOMO-FM Oakville/97.7 K249DX Redmond, Hot AC “Star 101.5” KPLZ Seattle and Conservative Talk 570 KVI Seattle.
Founded in 1962 with the purchase of 1330 KWKW Los Angeles, Lotus currently owns 44 stations in nine west coast markets: Bakersfield, Boise, Fresno, Las Vegas, Los Angeles, Onxard/Ventura, Reno, Sacramento and Tucson. The company also has low-power television properties in Houston and Phoenix.
Sinclair had acquired the Seattle radio stations as part of its 2013 acquisition of Fisher Communications. The company has no other radio properties.
Lotus Communications announced today they have entered into a definitive agreement with Sinclair Broadcast Group Inc.’s wholly-owned subsidiary, Sinclair Television Group Inc., whereby subject to FCC approval, Lotus Communications Corporation will acquire Sinclair’s radio stations in the Seattle, Washington metropolitan area for an aggregate purchase price of approximately $18 million in cash and other considerations. the deal includes News Radio KOMO 1000 AM & 97.7 FM, KPLZ “Star” 101.5 FM, and Talk Radio KVI 570 AM.
Lotus First SVP Jim Kalmenson commented, “We are excited to work with the amazing staff at KOMO, KPLZ, and KVI. These are legendary stations which share Lotus’s vision of producing local programming to serve the community, enhance local neighborhoods, and support our home town businesses. Seattle is home to several excellent broadcasting companies who have made this a great radio market.”
Richard A. Foreman Associates. Inc initiated the transaction and acted as exclusive broker representing Sinclair Broadcast Group