Border Media Partners radio stations in five Texas markets are on their way into the care and feeding of Larry Patrick of Patrick Communications, the appointed head of the newly formed Border Media Business Trust. As with many such cases these days, the group is said to be doing OK in general, just not OK enough to support debt loads. All told, the group has 22 radio stations, another one coming in a pending deal and one LPTV.
Patrick is taking the reins from CEO Jeffrey Hinson, who will be exiting at the end of this week, also conveniently the end of the month. Ironically, at the recent March RAB confab Hinson was honored as “America’s Best Broadcaster.”
The contract calls for Patrick to look into the sale of the stations for the benefit of the group’s lenders, but it is believed at the same time that there will be no rush to get them on the market. The group is believed to be worth about $100M right now, but the underlying debt could be anywhere from 2-3 times that much.
Benefactors of the eventual sale of the group are D.B. Zwirn Special Opportunities LLC, Goldman Sachs Specialty Lending Holdings Inc., Fortress Credit Opportunities I LP, Fortress Partners CLO LP, Bernard National Loan Investors Ltd., Bernard Global Loan Investors Ltd. and Canpartners Investments IV LLC.
Here are the stations involved, by market. All cities of license are in Texas.
* San Antonio: KZDC-AM/KTSA-AM/KJXK-FM San Antonio, KLEY-FM Jourdantown, KSAH-AM Universal City, KRIO-FM Pearsall, KTFM-FM Floresville and the pending acquisition of KTXX-FM Karnes City.
* Austin: KFON-AM Austin, KHHL-FM Leander, KXBT-FM Dripping Springs and KXXS-FM Elgin.
* McAllen-Brownsville: KSOX-AM/KBUC-FM Raymondville, KZSP-FM/KESO-FM South Padre Island, KURV-AM Edinsburg, KVJY-AM Pharr and KJAV-FM Alamo.
* Waco: KWOW-FM Clifton.
* Laredo: KLNT-AM/KNEX-FM Laredo and KBDR-FM Mirando City. Also includes low power television station KNEX-LP Laredo.