Capital Cities Makes a Bid for Satellite Music
From States News Service
Capital Cities/ABC Inc., New York, has acquired the equivalent of a 14.3% stake in Satellite Music Network Inc., Dallas, and has made a $5.40-a-share acquisition offer to Satellite’s board.
According to a filing with the Securities and Exchange Commission, Capital Cities made an oral bid to Satellite’s board and said it has no present intention to make a tender offer if the board rejects its $5.40-a-share offer.
Capital Cities bought 230,000 common shares between Oct. 17 and Dec. 5, and acquired a warrant for 1 million shares on Dec. 23. It now owns the equivalent of 1.4 million shares in the Dallas transmitter of radio programs.