Radio One Plans to Buy Blue Chip
- Share via
LANHAM, Md. — Radio One Inc., the largest U.S. radio broadcaster serving black listeners, agreed to buy closely held rival Blue Chip Broadcasting Inc. for about $135 million in stock and cash to expand in urban markets.
Radio One will pay $45 million in cash and $90 million in stock, Chief Financial Officer Scott Royster said. It also will pay $55 million to refinance Blue Chip’s debt. The purchase includes 15 radio stations owned and/or operated by Cincinnati-based Blue Chip in Ohio, Minnesota and Kentucky.
The purchase advances Radio One’s aim to dominate the U.S. urban radio business. The Lanham-based company owns 63 stations in 22 of the largest markets.
Radio One’s Class A shares rose 44 cents to $14.94 on Nasdaq.
The biggest entertainment stories
Get our big stories about Hollywood, film, television, music, arts, culture and more right in your inbox as soon as they publish.
You may occasionally receive promotional content from the Los Angeles Times.
