The parent company of television station KAIT in Jonesboro is set to become the second largest broadcast company in the U.S. after a major acquisition announced on Monday (May 3).
Gray Television Inc. has bought Meredith Corp. for a reported $2.7 billion ($14.50 a share), according to a release by Gray.
The deal is expected to be completed before the end of the year. Gray will acquire 17 television stations in 12 separate markets that stretch across the country. The company currently only has one television station in those markets.
“The television station portfolios, company cultures and commitments to localism of Gray and Meredith are highly complementary. We are very excited to acquire Meredith’s excellent television stations, and we look forward to welcoming its employees into the Gray family,” Gray’s Executive Chairman and CEO Hilton H. Howell said.
When the deal is complete, Gray will be in 113 local markets and will reach about 36% of all television households in the country. The projected revenue for the company after the deal is forecast to be more than $3.1 billion annually.