New World Gets Pappas TVs for $260M

Pappas Telecasting Inc. announced today that Peter J. Walsh, judge of the United States Bankruptcy Court for the District of Deleware, approved the sale of the company’s V stations to New World TV Group. (The sale of its Reno, Nev., station to Entravision was approved last October.)

New World won the auction for the Pappas assets — primarily, 10 full-power stations plus various community-access and low-power stations, associated licenses and equipment — with a bid of $260 million.

The 10 full-power stations: KMPH and KFRE Fresno-Visalia, Calif.; KTNC and KUNO San Francisco-Oakland-San Jose, Calif.; KCWK Walla Walla, Wash.; KAZH Houston; KDBC El Paso, Texas; KPTM Omaha, Neb.; KPTH Sioux City, Iowa.; and WCWG Greensboro-High Point-Winston-Salem, N.C.

Williams was appointed Chapter 11 trustee for Pappas in August 2008. Over the past five months, he worked with Moelis & Co., the company’s financial adviser, to market the stations to potential buyers.

“Moelis & Co. conducted an extensive marketing campaign and solicited multiple cash offers for the stations,” Williams said, “which in light of the turmoil in the credit markets, is a real accomplishment.”

New World, backed by Fortress Credit Corp., Cerberus Capital Management  and Angelo Gordon & Co., is headed by Bert Ellis and Dan Sullivan.