Jason Elkin, Chairman and CEO of New Vision Television, announced today that New Vision has reached a definitive agreement to sell its local broadcast group to LIN Television Corporation, a wholly-owned subsidiary of LIN TV Corp. (“LIN Media”; NYSE: TVL). For a purchase price of $330.4 million and the assumption of some debt, LIN Television Corporation will acquire the assets of New Vision’s owned stations. New Vision’s assets include 17 stations in eight television markets: Portland, Birmingham, Honolulu, Wichita, Savannah, Youngstown, Topeka, and Mason City. The agreement is subject to regulatory approvals and customary closing conditions, and New Vision expects the acquisition to close before the end of 2012.
Jason Elkin, New Vision’s CEO, said: “This is a bittersweet development. I have never worked with a more dedicated and committed group of local broadcasters than the management and staff of New Vision, led by my COO John Heinen, CFO Eric Simontis and EVP Steve Spendlove. The decision to sell to LIN Media was not an easy one, but we negotiated a fair price and so decided that now is the right time for me and others at New Vision to begin to look at new opportunities.”
New Vision has a twenty year history as one of the nation’s leading operators of local television stations, with a track record of dramatically improving the financial and operating performance of its broadcast properties. New Vision’s first group of stations was sold in 1995 for $230 million, more than twice the stations' acquisition price. New Vision's second group of stations was sold in 2005, again generating significant returns for New Vision's investors.
Since acquiring its latest group of eight television markets from 2006 through 2008, New Vision has invested to improve management strength and infrastructure at the stations for the benefit of its viewers and shareholders. As a result, New Vision and its dedicated employees have made significant impact in their eight markets, including winning awards for journalistic excellence and community involvement. Some of these honors are recorded at www.newvisiontv.com/awards.
New Vision Television is operated by Jason Elkin, Chairman and CEO, and Steve Spendlove, EVP, from New Vision's Los Angeles headquarters, and John Heinen, President & COO, and Eric Simontis, Chief Financial Officer, from the company's Atlanta offices.
Moelis and Company acted as financial advisor to New Vision in the sale of its assets.
The law firm of Locke Lord LLP and its managing partner in Atlanta, Neil Dickson, advised New Vision throughout the transaction with LIN.
About New Vision Television
New Vision’s philosophy is to give its presidents and general managers a high degree of sovereignty, with each station operating autonomously. New Vision has owned and operated more than 30 television stations in the last 20 years and has consistently outperformed the sector.
About LIN Media
LIN Media is a local multimedia company that operates or services 32 network affiliates, more than 50 television and niche web sites, and a growing suite of mobile products. LIN Media’s strategic investments focus on emerging media and interactive technologies that deliver measurable results to advertisers. LIN TV Corp. is traded on the NYSE under the symbol "TVL".