Strap on your seatbelt and get ready to delve into a Texas deal with a lot of moving parts. At the end, Educational Media Foundation will have a Refugio TX FM serving the Corpus Christ market – or will it?
The station is KOUL-FM, and the seller is Tejas Broadcasting, headed by James L. Anderson. Mike Novak signs off on the many deals entered into by EMF.
One thing that that will not be changing hands are the call letters, which will remain with Tejas.
The value of the deal will be $1.25M cash. But before that amount is paid, EMF will loan Tejas $500K, which is specifically earmarked to take care of repairs and maintenance of the station’s tower and tower site, and further to relocate two other Tejas stations that currently use the site as well.
An LMA/network affiliation agreement between the parties kicked off 4/1/13.
The next wrinkle in the deal involves a third party, one Derrick Varnell, who has a ten year option to acquire the station for the same $1.25M that EMF is paying.
According to the contract, John Pierce handled brokerage chores for EMF.