Nexstar Broadcasting Group, Inc.(NASDAQ:NXST) Broadcasting Selling Three Stations

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Nexstar Broadcasting Group, Inc.(NASDAQ:NXST), a diversified media company, has entered into definitive agreements with Marshall Broadcasting, a newly formed minority owned media entity, for the sale of three network affiliated stations in three markets for $58.5 million. 

Under the terms of the agreements Marshall Broadcasting will acquire three full-powered, FOX affiliated stations, KMSS-TV, KPEJ-TV and KLJB (TV) in Shreveport, LA, Odessa-Midland, TX and Quad Cities, IA, respectively. The transactions are expected to be completed in 2014. 

Under the terms of proposed services agreements between Nexstar and Marshall Broadcasting, Marshall Broadcasting will be entitled to 70% of the revenue from advertising sold by Nexstar on the stations and will not provide for any bonus payments to Nexstar for achieving revenue goals. 

Perry Sook, Chairman, President and Chief Executive Officer of Nexstar Broadcasting Group, commented: “The proposed transaction with Marshall Broadcasting serves as a model to increase media ownership diversity and uniquely addresses our near-term objectives.”

Shares in Nexstar Broadcasting Group were up 0.11% to $46.65 on Friday morning. The company’s 52-week range has seen a share price high of $56.42 and a low of $26.25.

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