Byron Allen Shopping $1 Billion in Local TV Stations [7YismReAgrg]
Producer Byron Allen has hired Moelis to shop local TV stations to potential buyers in an effort to reduce debts. Bloomberg's Romaine Bostick breaks down the move and how the company is taking advantage of potential deregulation in the TV industry. Producer and host Byron Allen has hired Moelis & Co. to find buyers for 28 local TV stations his company owns, in an effort to reduce debt while taking advantage of potential deregulation in the broadcast business. Allen, who got his start as a standup comic, owns affiliates of major networks — ABC, CBS, NBC or Fox — in 21 markets. He spent more than $1 billion acquiring the portfolio over the past six years, according to a statement from his Allen Media Group on Monday. The Federal Communications Commission has been under pressure to consider changes that could be favorable to the industry, including removing national and local station ownership limits, as it competes with unregulated streaming giants and cable conglomerates. Commission member Nathan Simington has proposed a cap on the share of distribution fees networks take from stations, a move that could boost their revenue. “We have received numerous inquiries and written offers for most of our television stations and now is the time to explore getting a return on this phenomenal investment,” Allen said in a statement. “We are going to use this opportunity to take a serious look at the offers, and the sale proceeds will be used to significantly reduce our debt.” Allen Media, which owns the Weather Channel cable network and digital channels such as Sports.tv, has been implementing deep cost cuts and trying to address a heavy load of debt trading at distressed levels. The company has about $1.5 billion in borrowings. Creditors to the company joined forces last year in a pledge to act as a united front in any potential talks about managing or restructuring the debt. Allen Media produces or distributes some 74 TV programs. On Sept. 22, CBS will begin airing its show Comics Unleashed with Byron Allen five nights a week in the 12:30 a.m. spot. -------- Watch Bloomberg Radio LIVE on YouTube Weekdays 7am-6pm ET WATCH HERE: Follow us on X: Subscribe to our Podcasts: Bloomberg Daybreak: Bloomberg Surveillance: Bloomberg Intelligence: Balance of Power: Bloomberg Businessweek: Listen on Apple CarPlay and Android Auto with the Bloomberg Business app: Apple CarPlay: Android Auto: Visit our YouTube channels: Bloomberg Podcasts: Bloomberg Television: Bloomberg Originals: Quicktake: