Entercom Divests Stations to EMF Ahead of Merger

RADIO ONLINE | Tuesday, September 26, 2017

Entercom Communications has agreed to divest three stations to Educational Media Foundation (EMF), including KSWD-FM (100.3 The Sound)/Los Angeles, KSOQ-FM (92.1)/San Diego and WGGI-FM (95.9)/Wilkes-Barre. The transaction marks the first required divestitures related to Entercom's pending merger with CBS Radio. Additionally, Entercom has filed a registration statement on Form S-4 with the SEC, which will constitute a prospectus of Entercom. CBS Radio has also filed with the SEC a registration statement on Form S-1 and Form S-4 that will constitute a prospectus of CBS Radio.

"We have made great progress towards the completion of our merger with CBS Radio and this agreement with EMF brings us one step closer to the finish line," said Entercom President/CEO David Field. "We remain on track to close the CBS Radio transaction later this year and confident in the value-creating opportunities presented by this transformational combination."

Based in Rocklin, California, EMF is a non-profit organization that operates radio networks specializing in Christian AC, including K-LOVE and Air1. As of September 26, 2017, EMF owns and operates some 770 FM stations and translators. EMF CEO Mike Novak commented, "We are particularly excited to see what God has in store for the people of Los Angeles, through our new station, Positive & Encouraging K-LOVE at 100.3 FM. The people at Entercom have been a joy making this purchase possible."

On February 2, 2017, Entercom announced an agreement to combine with CBS Radio Inc. in an all-stock transaction which is expected to be tax-free to CBS and its shareholders. The merger will give Entercom a nationwide footprint of 240 stations, with outlets in virtually all of the top 50 markets, as well as digital capabilities and an events platform.