News Corp. (NYSE: NWS) said it will sell Salt Lake City-based KSTU Channel 13 and seven other Fox-affiliated televisions stations to Oak Hill Capital Partners for $1.1 billion, the Associated Press reported Wednesday via AOL. In May 2007, Oak Hill purchased nine television stations from The New York Times Co. (NYSE: NYT) for $575 million.
News Corps' (NYSE: NWS) shares gained 5 cents to $21.47 on the news in Wednesday morning trading.
Alan Daniak of Anderson & Associates told BloggingStocks Wednesday that the deal should help rebuild News Corp.'s cash component, following the purchase of Dow Jones.
"It's a significant cash infusion for News Corp. KSTU was a strong revenue holding but News Corp. could benefit from the added cash after the Dow Jones deal, so it makes considerable sense," Daniak said. "And the deal also speaks to the fact the News Corp. is committed to selling lower-profile, smaller affiliate stations to concentrate on core markets."
Earlier this year News Corp. agreed to buy Dow Jones, including The Wall Street Journal, for $5.2 billion.
News Corps' (NYSE: NWS) shares gained 5 cents to $21.47 on the news in Wednesday morning trading.
Alan Daniak of Anderson & Associates told BloggingStocks Wednesday that the deal should help rebuild News Corp.'s cash component, following the purchase of Dow Jones.
"It's a significant cash infusion for News Corp. KSTU was a strong revenue holding but News Corp. could benefit from the added cash after the Dow Jones deal, so it makes considerable sense," Daniak said. "And the deal also speaks to the fact the News Corp. is committed to selling lower-profile, smaller affiliate stations to concentrate on core markets."
Earlier this year News Corp. agreed to buy Dow Jones, including The Wall Street Journal, for $5.2 billion.
