Media General Inc. (NYSE: MEG) and New Young Broadcasting Holding Co. Inc. are merging in an all-stock transaction.

Richmond, Va.-based Media General owns 18 network-affiliated stations. Nashville-based New Young owns and operates 12 network-affiliate stations. The combined company will have 30 stations in 27 markets.

Under the terms of the deal, Media General will reclassify each outstanding share of its Class A and Class B common stock into one share of a newly-created class of common stock. The 60.2 million shares will be distributed to New Young’s shareholders, giving New Young’s shareholders 67.5 percent of the combined company.

The merged company will retain Media General’s name and ticker symbol. Before the deal was announced, Media General’s stock closed at $7.30, on June 5. On June 6, the company’s stock was trading at $9.03. 

Together, the businesses have $765 million in debt, which they plan to refinance.

RBS Capital Markets LLC and Fried Frank Harris Shriver & Jacobson LLP are advising Media General. Stephens Inc. is financial adviser to Media General’s board of directors, while Gibson Dunn & Crutcher LLP is advising the board.  Wells Fargo Securities LLC is acting as New Young’s financial adviser, while Debevoise & Plimpton LLP is legal counsel.

The Debevoise team included partners Jonathan Levitsky, Peter Furci and Elizabeth Pagel Serebransky.

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