Clear Channel to Sell Its 56 TV Stations

Clear Channel Communications Inc., the largest U.S. radio-station operator, said Friday it would sell its TV group to a private-equity firm for $1.2 billion.

The San Antonio-based broadcaster, concert promoter and billboard advertiser said it expected net proceeds of $1.1 billion from the sale of its 56 TV stations to private-equity firm Providence Equity Partners Inc.

The transaction is expected to close in the fourth quarter, subject to regulatory approvals and other customary closing conditions.

The announcement came two days after U.S. private-equity firms Bain Capital LLC and Thomas H. Lee Co. raised their offer to buy Clear Channel by 4 percent to $19.4 billion.

Clear Channel said its board unanimously agreed to the sweetened offer, despite opposition from two large shareholders contending the price was still too low.

The TV-group sale is not contingent on completing the Clear Channel buyout.

Clear Channel, which owns more than 1,100 radio stations, also said Friday it agreed to sell 161 of the 448 stations it previously said it wanted to unload. The selling price was $331 million and the company expected the deals to close in the second half of the year.