A Snag Hits Entercom/Lincoln Financial Deal
The acquisition of Lincoln Financial Media by Entercom has hit a potential delay.
On January 14, Entercom voluntarily withdrew its notification and report forms to the Federal Trade Commission and Department of Justice as the 30 day reporting period was set to expire. Entercom stated to the Securities & Exchange Commission it intended to refile within 48 hours to give the agencies an additional month to examine and approve the acquisition. Entercom had stated in its application to purchase the Lincoln Financial stations that it would begin operating the stations via Time Brokerage Agreement on January 15 or two days after DOJ approval of the deal, whichever is the latter of the two. That is now on-hold pending DOJ approval.
Why the hold-up? No reason was given. But with Entercom and Lincoln only having overlap in Denver it is possible the government agencies are concerned about not just whether 104.3 KKFN’s signal is to be divested, but the format and ratings concentration the combined entities will have.