“Nexstar Broadcasting Group and Mission Broadcasting to Acquire Communications Corporation of America and White Knight Broadcasting, Owners of 19 Television Stations in Ten Markets, for $270 Million in Accretive Transaction”

Some news from a company we’ve owned since last fall. The consolidation in this industry continues, as this is the second big transaction announced in a few weeks after a lot of activity in 2011 and 2012. The purchase price of less than 6 times cash flow (after cost-saving synergies) looks good and Nexstar is currently trading at a lower pro-forma multiple than prior to the announcement of the transaction.

Disclosure: Long NXST


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s