The deal comprises six stations in Texas in Waco (KXXV), Amarillo (KFDA-KEYU), Odessa-Midland (KWAB-KWES) and Wichita Falls (KSWO), plus a second station in Wichita Falls (KAUZ) that Raycom is buying from Hoak Media and then spinning off to American Spirit, which will enter into a shared services agreement with Raycom, under which KSWO will provide news, production services, administrative support and equipment and building space to KAUZ.
Raycom Media’s anticipated acquisition of Drewry Communications is now official with the parties filing for FCC approval of a $160 million deal.
The group comprises KXXV (ABC) Waco, Texas (DMA 87); KFDA-KEYU (CBS-Telemundo) Amarillo, Texas (DMA 130); KSWO (ABC) Wichita Falls, Texas-Lawton, Okla. (DMA 145); and KWAB-KWES (NBC) Odessa-Midland, Texas (DMA 136).
As part of the deal, Raycom is also buying KAUZ, the CBS affiliate in Wichita Falls, from Hoak Media and then turning around and selling it to American Spirit, which will enter into a shared services agreement with Raycom, under which KSWO will provide news, production services, administrative support and equipment and building space to KAUZ.
KSWO and KAUZ are currently parties to a grandfathered joint sales agreement, which will terminate at closing.
Other than the new SSA, the filing says, “there is no financial relationship between American Spirit and Raycom.”
American Spirit owns nine other small market stations in the South, Midwest and Hawaii. It is headed by Thomas Henson.
Kalil & Co. brokered the deal.