Cumulus Media Acquires WQQK-FM, WNPL-FM and WRQQ-FM from DBBC, LLC.
FOR IMMEDIATE RELEASE
November 19, 2001
Cumulus Media, Inc. today announced its intention to purchase radio stations WQQK-FM, WNPL-FM and WRQQ-FM in Nashville, TN, from DBBC, LLC, for stock and assumed debt valued at approximately $84 million.*
The stations are being exchanged for 5.25 million shares of the Company_s Class A Common Stock, the assumption of approximately $21 million worth of debt and the issuance of warrants to purchase 250,000 additional shares of Common Stock.
Lew Dickey, Cumulus_ chairman and CEO, said today the acquisition of the Nashville stations along with Aurora Communications LLC are in line with his company_s growth plans.
_The transactions we are announcing today represent another important milestone in the development of this Company,_ Dickey explained. _We are adding a total of 21 stations across six markets, and approximately $44 million of gross revenue on a trailing twelve month basis that will increase our pro forma EBITDA by approximately 40 percent._
George R. Reed advised DBBC, LLC in its sale of the three Nashville radio stations.
* Pending FCC Approval