Nexstar Buys Little Rock MyNetwork Station for $4 Million
October 9, 2008
Nexstar Broadcasting Group has agreed to buy KWBF, the MyNetworkTV affiliate in Little Rock, Ark. (DMA No. 56) for $4 million from Equity Broadcasting Corp. Nexstar already operates the Little Rock NBC affiliate, KARK.
Upon completion of the deal, expected in early 2009, Nexstar will own, operate or otherwise serve 51 stations, with more than one in 19 of its 29 markets.
"This transaction reflects Nexstar's long-term strategy of identifying accretive acquisitions and prudently expanding our portfolio by operating multiple stations in concentrated geographic areas," Nexstar president and CEO, Perry A. Sook said. "Under Nexstar's ownership, KWBF-TV will realize additional retransmission revenues and we'll achieve operating and financial synergies between KARK-TV and KWBF-TV."
The stations will focus on leveraging existing local sales teams, local news and e-Media operations across both stations, he said.
Nexstar is based in Irving, Texas.
Equity has sold a handful of its stations this year to its top shareholder, Henry Luken. Its stock price, above $5 per share as late as April 2007, has dropped below 50 cents. The day the sale was announced, the stock plunged another 25 percent, or another 13 cents, to 37 cents per share.