Randy Michaels Buys Into Chicago and NYC Radio

Michaels to take control via LMA within 45 days

GTCR, a leading private equity firm, today announced it has signed a definitive agreement to partner with Emmis Communications Corporation and Randy Michaels to acquire Merlin Media LLC ("Merlin Media") a company which owns and operates media assets.

Merlin Media has signed definitive documentation with Emmis to acquire the assets of WKQX-FM (101.1 MHz, Chicago, IL), WLUP-FM (97.9 MHz, Chicago, IL) and WRXP-FM (101.9 MHz, New York, NY).

The deal is reported to be worth $110M and closing of this transaction is pending regulatory approvals.

"We are extremely excited about the opportunity to partner with Emmis and Randy," said Philip A. Canfield, Principal at GTCR. "Emmis' CEO, Jeff Smulyan, and Randy Michaels are both proven veterans of the media industry and we look forward to working with them to provide valuable media content to Merlin Media's future consumers."

"We believe this transaction will create significant value for our shareholders," noted Jeff Smulyan, Chairman & CEO of Emmis. "As a minority holder in Merlin Media, we look forward to continuing to provide innovative programming to our audiences in Chicago and New York."

Latham & Watkins LLP served as legal counsel and PriceWaterhouseCoopers served as accounting advisor to GTCR. GTCR's investment in Merlin Media will be made from GTCR Fund X, a private equity fund with $3.25 billion of committed capital.

Founded in 1980, GTCR is a leading private equity firm focused on investing in growth companies in the Financial Services & Technology, Healthcare and Information Services & Technology industries. The Chicago-based firm pioneered the "Leaders Strategy" -- finding and partnering with world-class leaders as the critical first step in identifying, acquiring and building market-leading companies through acquisitions and organic growth. Since its inception, GTCR has invested more than $8.5 billion in over 200 companies.