WKYT-TV to be part of third- largest broadcasting company in U.S.
Lexington's WKYT-TV will soon become part of the third-largest broadcasting company in the United States, with its owner, Gray Television, announcing on Monday that it will purchase Raycom Media Inc., in a $3.65 billion deal.
"This transaction marks Gray's transformation from a small, regional broadcaster into a leading media company with nationwide scale based on high-quality stations with exceptional talent in attractive markets," a press release from Gray Television, Inc., states.
The moves come at a time when the U.S. Federal Communications Commission is making it easier for media companies to buy TV stations in the same market. The FCC voted in November to remove certain roadblocks to increase consolidation among media companies, potentially unleashing new deals as they seek to compete with online media.
Gray currently owns WYMT-TV in Hazard, WBKO-TV in Bowling Green and WKYT-TV. Raycom, an employee-owned company, owns Louisville's WAVE-TV.
The combined company will have 142 full-power television stations in 92 markets, the third largest portfolio in the U.S. Gray's station portfolio currently reaches about 10.4 percent of total U.S. television households and the combined company will boost it to 24 percent, according to the companies.
Raycom plans to sell or spin off units Community Newspaper Holdings Inc., which owns community newspapers and PureCars, a digital ad platform for the automotive industry. Gray said it will not acquire either units as part of the deal.
The transaction is subject to customary closing conditions and regulatory approvals. The parties expect to close the transaction in the fourth quarter of 2018.
Also Monday, CNHI, one of the country's leading providers of local news, announced it is exploring the sale of its newspapers in 22 states. Its parent company is Raycom Media. Donna Barrett, CNHI's president and chief executive officer, said the company has retained the newspaper brokerage firm of Dirks, Van Essen, Murray and April to handle the newspaper sales.
WKYT will soon become part of the third-largest broadcasting company in the United States, according to a joint news release from Gray Television and Raycom Media.
The transaction is worth $3.6 billion.
This combination will improve the company's reach in Kentucky. Gray presently owns WYMT in Hazard and WBKO in Bowling Green, in addition to WKYT.
The combination adds WAVE in Louisville, WXIX in Cincinnati, Ohio, WFIE in Evansville, Indiana, and KFVS in Cape Girardeau, Missouri. WXIX, KFVS and WFIE's coverage areas include significant portions in Kentucky.
The company will own a total of 142 stations in 92 markets, according to the news release.
The combination will need regulatory approval before it can happen. The companies expect this to occur by the end of the year.
This story was originally published June 25, 2018 at 10:26 AM with the headline "WKYT-TV to be part of third- largest broadcasting company in U.S.."