Cox Enterprises makes offer to take Cox Radio private

By Lisa Kerner

Charlotte, N.C., March 23 - Cox Enterprises, Inc. began a $3.80-per-share cash tender offer to acquire the outstanding publicly held minority interest in Cox Radio, Inc.

The per-share offer price is a 15.2% premium over Friday's closing price and a 21.8% premium over the 10-day volume-weighted average closing price of Cox Radio.

Cox Enterprises reported a 78% equity interest in Cox Radio and a roughly 97% voting interest in the company.

In response, Cox Radio said it expects its board of directors to appoint a special committee to review the offer and advised Cox Radio shareholders to refrain from taking any action at this time.

The tender offer, valued at approximately $69.1 million, is slated to end April 17 and will be financed with cash on hand and from Cox Enterprises' existing credit facility.

Cox Enterprises will complete a short-form merger if it owns at least a total of 90% of Cox Radio's outstanding shares following the offer's close.

Citigroup is the dealer manager for the offer.

Cox Radio is a radio broadcasting company, and Cox Enterprises is a communications, media and automotive services company. Both are based in Atlanta.

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