Entercom To Acquire 15 Radio Stations - Quick Facts

(RTTNews) - Radio broadcaster Entercom Communications Corp. (ETM) has agreed to acquire Lincoln Financial Media in a cash-and-stock deal that will add fifteen radio stations to its portfolio.

Entercom said in a news release Monday it will pay $77.5 million in cash and $27.5 million in preferred stock for the Atlanta-based Lincoln Financial Media, a wholly-unit of financial services company Lincoln Financial group.

Entercom expects to finance the deal though debt, cash on hand, and other sources, the company said.

The company said it will divest one FM station in Denver to comply with FCC rules. Entercom expects to start operating the 15 radio stations under a time brokerage agreement scheduled to commence in late January.

Entercom further said the acquisition is structured as a stock takeover with a tax election, allowing Entercom to get a step-up in the tax basis for the station assets.