Cumulus Media Inc. agrees to purchase Providence market radio stations

PROVIDENCE – Atlanta-based Cumulus Media Inc. has agreed to purchase Citadel Broadcasting Corp., the parent of some Providence radio stations, for $2.4 billion.
Las Vegas-based Citadel owns Rhode Island stations WPRO-AM 630 and 92 Pro FM, among others. The company filed for bankruptcy in December 2009 and has been negotiating a sale to Cumulus for months.
The deal, expected to close by the end of the year, is subject to approval by Citadel shareholders. Cumulus Media Chief Financial Officer J.P. Hannan said the company expects to receive that approval because of “enthusiastic support” from Citadel’s shareholders.
Hannan told Providence Business News that it is too early to tell what, if any, changes Cumulus Media may make to the lineup of shows, but the company is generally pleased with the performance of the stations in the Providence market.
“There’s no anticipated changes and these are highly desirable brands,” he said.
WPRO is the home of Rhode Island personalities John DePetro, Dan Yorke and former Providence Mayor Vincent “Buddy” Cianci.
Cumulus Media said the deal would bring its radio stations to 572 across approximately 120 U.S. markets.
“This transaction provides us with a unique opportunity to leverage our proprietary operating systems and technology platform across a vastly expanded national footprint,” Cumulus’ Chairman and CEO Lew Dickey said in a statement. “We’ll have the national scope and financial strength necessary to make critical investments in content and technology necessary to compete in today’s rapidly evolving media landscape.”
Citadel also owns local stations Hot 106, Lite-Rock 105 and AM 790 Talk and Business, for which Providence Business News provides a daily news update.