Times Mirror Co., as expected, said it has reached agreements to sell its four network-affiliated TV stations to an investor group for $335 million in cash and securities.
The buyer, Argyle Television Holding Inc., is a newly created company that is acquiring the stations in association with the merchant banking group of Donaldson, Lufkin & Jenrette.
Los Angeles-based Times Mirror said it will recognize a gain of about $235 million from the sale of the four stations, including certain tax benefits.
Times Mirror, owner of the Los Angeles Times, said it is selling the television stations in a two-step transaction that is not expected to be completed until at least the end of the year.
The first stations to be sold are KTVI-TV in St. Louis and WVTM-TV in Birmingham, Ala. The other stations, KDFW-TV in Dallas and KTBC-TV in Austin, Tex., will be sold subject to the renewal of their licenses.
In a statement, Times Mirror Chief Executive Robert F. Erburu said the TV stations were sold because management "concluded that it is better served to direct its resources to other business areas in which it is now involved as well as new business initiatives it is exploring and may pursue in the future."