SNL Kagan: Beasley, CBS Topped 2014 Deals

SNL Kagan has released a report which shows broadcast station mergers and acquisitions volume reached $8.77B in 2014, excluding construction permits and partial deals, but including $1.3B worth of station swaps.

The largest of these swaps was a trade of four TV stations between 21st Century Fox, Inc. and Cox Enterprises, Inc. (estimated to be worth $859 million) and the top radio deal of the year, a 19-station swap between CBS Corp. and Beasley Broadcast Group, Inc., worth an estimated $300 million.

The deal market did not repeat 2013's record-breaking $12.4 billion, but still registered the second-highest annual number since 2007. The 2014 total exceeds the deal volumes of the years 2009 through 2012 combined.

The average forward seller's broadcast cash flow multiple for radio stations remained almost unchanged at 6.9x (7.0 in 2013). 70% of all radio stations sold were located in markets smaller than rank 75 or in non-rated regions. This area has become the most active part of a still vibrant broadcast deal market.