Atlanta-based Gray Television has reached a deal with Meredith Corp. to acquire 17 TV stations for $2.7 billion.
Gray Television has been actively scooping up TV stations for the past several years. The addition of Meredith’s stations in Atlanta, Phoenix, Nashville, Portland, Ore., and other mid-sized markets will bring Gray’s holdings to 101 stations serving 113 markets.
Des Moines-based Meredith, meanwhile, is slimming down to focus on its magazine publishing and digital assets. The company that is now home to Entertainment Weekly and People will spin off its National Media Group unit to existing shareholders as part of the transaction with Gray. Gray will pay $14.50 per share to acquire Meredith. After the spinoff, the total enterprise value of the transaction for Gray will be $2.7 billion.
“The television station portfolios, company cultures, and commitments to localism of Gray and Meredith are highly complementary. We are very excited to acquire Meredith’s excellent television stations, and we look forward to welcoming its employees into the Gray family,” said Gray CEO Hilton Howell said. “Building on our successes throughout 2020 and just the first few months of 2021, Gray Television clearly has an even stronger and brighter future than ever.”
More to come