Texas TVs fetched more than met the eye


The sale of KNWS-TV and KLDT-TV in Houston and Dallas came home with a much higher price tag than that listed in the contract filed with the FCC (which represented a starting point). According to Frank Higney of Kalil & Co., the price was bid up almost $10M.

When all was said and done, KNWS-TV came home at $14.88M and KLDT-TV came home at $9.92M for a total of $24.8M.

The stations were sold out of bankruptcy by Johnson Broadcasting to Una Vez Mas Texas Holdings, with Higney acting as Limited Purpose Fiduciary.

KNWS-TV is licensed to Katy TX, and KLDT-TV to Lake Dallas TX. According to Kalil, Una Vez Mas owns 37 stations, many of them low power, throughout the nation.

RBR-TVBR observation: We haven’t had many opportunities to write about station valuations moving upward lately, and these moved significantly upward. That has to be taken as a good sign.

These are obviously troubled properties, but they are also in markets that are home to a very large number of consumers. We like the fact that Una Vez Mas Texas Holdings kept throwing in chips in this game of Texas Hold ‘Em until it got the stations, and that it had serious competition for them in the first place.

RBR/TVBR note: Now available “Profitably Buying and Selling Radio Stations,” – RBR/TVBR’s ‘2010’ new book and guide to help chart a course through the treacherous waters of buying, owning and selling radio or television stations. A comprehensive resource which includes template agreements and advice to assist sellers, potential buyers, lenders and investors. Coauthored by Erwin Krasnow, John King and John Pelkey of Garvey Schubert Barer. Buy it now in paperback or ebook exclusively on line.

Click to purchase:  “Profitably Buying and Selling Radio Stations,” or 1-800-288-4677, ext. 5022 for $49.95, paperback, $39.95, e-book.