KHON-TV sold again
Montecito had announced it would explore a possible sale of the station at the end of May
KHON-TV and its sister stations in Oregon and Kansas are being sold by Montecito Broadcast Group LLC, its owner of a year-and-a-half, to New Vision Television Inc. for an undisclosed price.
Montecito announced it would explore a possible sale at the end of May.
(Pending) -- New Vision Television
January 2006 -- Montecito Broadcast Group
June 1998 -- Emmis Communications Corp.
August 1995 -- Savoy Fox Broadcasting
August1985 -- Burnham Broadcasting Co.
March 1979 -- Des Moines Register and Tribune Co.
The deal includes the Honolulu Fox and CW affiliate and its neighbor island satellite stations, plus KOIN-TV in Portland, Ore., KSN-TV, Wichita and KSNT-TV Topeka, Kansas and satellite stations in Kansas and Nebraska.
"They've bought the whole entity," said Joe McNamara, president and general manager of KHON, so private equity firm Blackstone Group "will no longer be involved."
McNamara anticipates "business as usual" and believes he will remain at KHON after the deal closes, likely in October, he said. The deal requires FCC approval.
HBK Capital Management is providing financing, but "New Vision (will be) the owner," Jason Elkin, chairman and chief executive officer of New Vision, told the Star-Bulletin.
The company paid about 14 times broadcast cash flow for the station group, according to industry publication Broadcasting & Cable.
That is the multiple Montecito paid in its $259 million deal with Emmis Communications Corp. in 2006.
New Vision was interested in the stations when Emmis offered them for sale in 2005.
New Vision, which has headquarters in California and Georgia, owns WIAT-TV in Birm- ingham, Ala., KIMT-TV in Mason City, Iowa, and WKBN-TV and WYFX-LP in Youngstown, Ohio.
Once additional pending deals close, New Vision will have "about 12" stations, Elkin said.
New Vision may "add a few people ... No one needs to worry about any cuts with us, we're not that kind of broadcaster," Elkin said.
When Montecito took over, it announced it would cut up to 35 positions; eight of nine senior managers resigned rather than make the cuts.
Elkin said KHON won't be his first exposure to the islands.
"I spent my youth in Hawaii ... at King Kamehameha Elementary School in the early- to mid-1950s," he said, adding that one of his partners grew up on a neighbor island.