Clear Channel Plans to Sell 72 Radio Stations in Acquisition

Clear Channel Communications Inc., soon to become the world’s No. 1 radio broadcaster, agreed to sell 72 radio stations to get regulatory approval to acquire AMFM Inc. in a $16.6-billion transaction announced last fall.

Infinity Broadcasting Corp., CBS Corp.’s radio unit, agreed to buy 18 of the stations for $1.4 billion to fill out its radio ownership in the nation’s top 50 radio markets and be able to sell packages of billboard, radio and TV advertisements by combining them with outlets of CBS.

Although Clear Channel did not disclose terms of other sales, Associated Press reported that Cox Radio Inc. said it was paying $380 million for seven stations--four in Richmond, Va., and three in Houston.

Clear Channel is selling about 40 other stations to companies including Cumulus Media Inc. and Salem Communications Corp. Many of the stations being sold to those companies are in smaller markets; the stations Infinity will acquire are in bigger markets.

Clear Channel said it will raise about $4 billion by selling 100 stations as part of its acquisition of Dallas-based AMFM. The sales are intended to allow Clear Channel to meet limits on how many stations one company can own in a market.

San Antonio-based Clear Channel agreed last week to buy SFX Entertainment Inc. for $4 billion to link SFX’s concert halls to the 850 radio stations it would own after buying AMFM.

On the New York Stock Exchange, Clear Channel shares fell $4.38 to close at $68, Infinity fell $1.94 to close at $32.81, and New York-based CBS fell 69 cents to close at $58.44.

Shares of Cumulus, based in Milwaukee, fell $2.13 to close at $34.50 on Nasdaq.