Report: Sinclair Broadcast Interested In The Weather Channel

Sinclair Broadcast Group has expressed interest in acquiring the Weather Channel’s TV operations from private-equity firms Bain Capital LLC and Blackstone Group LP, and Comcast Corp.’s NBCUniversal, according to The Wall Street Journal.

Talks between Sinclair and the Weather Channel owners have been off and on for about a year and heated up again recently, the people said.

Last year International Business Machines Corp. bought the Weather Company’s digital assets for more than $2 billion. The deal didn't include the company’s cable TV channel, though IBM did retain rights to the name “Weather Channel.”

Sinclair has now emerged as a suitor for the TV network, though there is no guarantee a deal will be consummated. According to people familiar with the situation, a deal could be valued at around $100 million.

For Bain, Blackstone and NBCUniversal, a sale of the Weather Channel at the valuation being considered, combined with the IBM transaction, would highlight how the assets have weakened. The trio purchased the Weather Channel and its other assets in 2008 from Landmark Communications Inc. for about $3.5 billion.

Still, the long-term forecast for the Weather Channel isn't sunny. Once a must-have for pay-TV distributors, the network has lost some of its relevance thanks to changing technology and consumption habits. Ratings for the channel are tiny as consumers more often count on the internet and phone apps to keep tabs on the weather.

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