Grand Slam Sports has been at the helm of KFNS-AM Wood River IL, just across the river from St. Louis MO, since 9/1/09. It recently exercised an option to buy, and now relevant paperwork has been filed with the FCC.
The seller is Big Stick One LLC. The seller’s Andrew Saltzman signed off on the application. The buyer has a fairly long roster of ownership partners, with three – Todd C. Robbins, David M. Greene and James G. Oelklaus – holding double-digit shares.
The option had spelled out a purchase price menu keyed to the date of its exercise, with prices ranging from $1.7M to $2.35M. The highest price would have kicked in at the end of the option window in the second half of 2012.
However, the price agreed to on the 5/14/10 letter from Grand Slam announcing that it was moving forward with the buy was $1.4M. $175K is going into escrow.
The LMA was also subject to a time-keyed menu. Grand Slam was operating the station, benefiting from gross income and covering pretty much all of its expenses. Big Stick had agreed to forego payment from the LMA’s onset until 4/30/10. As of 5/1/10, Big Stick was set to receive a “royalty” of $10K a month through the end of March 2011, with increases to $20K and $30K on April 1st 2011 and 2012 respectively.
The station will be the only one in the Grand Slam portfolio.
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Click to purchase: “Profitably Buying and Selling Radio Stations,” or 1-800-288-4677, ext. 5022 for $49.95, paperback, $39.95, e-book.