A five station cluster is going from one Magic Broadcasting to another, the main difference being that Donald G. McCoy will be changing the name of the licensee enough to be different and will have a much bigger stake in the cluster.
The licensee change breaks down like this: The cluster will be going from Magic Broadcasting Florida Licensing LLC as subsidiary to Magic Broadcasting LLC, to McCoy’s Magic Broadcasting II Inc. McCoy holds 50% of the purchasing entity, along with Elke M. McCoy.
The McCoys will pay $3.15M cash for the cluster, putting the entire amount into escrow. They will face a $500K “liquefied damages” penalty if they are found at fault should the deal fail to consummate.
The stations are CHR 105.9 WILN-FM in Panama City FL, Country 1290 WPCF-AM and Adult CHR 100.1 WVVE-FM, both in Panama City Beach FL, News/Talk 101.1 WYOO-FM Springfield FL and New Rock 97.7 WYYX-FM Bonifay FL.
The contract specifies that the buyers will pursue construction permits for both WILN-FM and WVVE-FM. They will ask that existing CPs be dismissed as unbuilt, and the seller will see to pursuing replacement CPs with the buyers covering any associated expenses.
McCoy holds a 13.3% voting stake in the seller, and has a 26.17% stake in its assets.
RBR-TVBR note: Now available RBR-TVBR’s ‘2010’ new guide to help chart a course through the treacherous waters of buying, owning and selling radio or television stations.
Click to purchase: “Profitably Buying and Selling Radio Stations,” or 1-800-288-4677, ext. 5022 for $49.95, paperback, $39.95, e-book.