Cable Technology Feature Article
ACME Communications to Sell WBXX in Knoxville to Lockwood Broadcast Group
By Narayan Bhat, TMCnet Contributor
U.S. television broadcasting company, ACME Communications, Inc., is setting out to sell WBXX in Knoxville, Tenn., to the Lockwood Broadcast Group for $5.6 million. ACME is pressing ahead to sell one more asset even though one of its earlier asset sales is still under review by the FCC (News - Alert).
In September 2010, ACME announced the sale of CW-affiliated cable stations WBDT in Dayton to WBDT Television, and WIWB in Green Bay-Appleton to Lin Television Corporation. The aggregate purchase price of the stations was $11.5 million.
ACME produces The Daily Buzz, a morning news and lifestyle program beamed by more than 150 television stations across the country.
The FCC is expected to approve of the deals by the end of June 2011.WBXX is currently affiliated with the CW Network.
ACME says it would distribute among shareholders the proceeds from both the sales once the transactions are completed.
"The strategic monetization of this station reflects our focus on maximizing our assets to the benefit of our shareholders. Lockwood Broadcast Group acquires a station with a loyal audience base and a solid local management team," said Doug Gealy, ACME's president and CEO.
ACME Communications owns and operates six television stations reaching 2.2 percent of America’s television households. The company's stations are: KWBQ-TV and KASY-TV, Albuquerque-Santa Fe, N.M.; WBXX-TV, Knoxville, Tenn.; WBDT-TV, Dayton, Ohio; WIWB-TV, Green Bay-Appleton, Wis., and WBUW-TV, Madison, Wis.
In April 2010, ACME reached a licensing and consulting agreement with Fisher Communications for The Daily Buzz, while in June it reached an agreement with LIN TV to provide operational and administrative services in three markets where they have common ownership.
CobbCorp, LLC served as financial advisor to ACME in connection with all three transactions.
Narayan Bhat is a contributing editor for TMCnet. To read more of Narayan’s articles, please visit his columnist page.
Edited by Tammy Wolf