Nielsen To Acquire Arbitron For $48/Share
December 18, 2012

Nielsen made a surprising announcement this morning, as the media measurement giant announced it has signed a definitive agreement to acquire radio ratings mainstay Arbitron. Nielsen has agreed to acquire all of the outstanding common stock of Arbitron for $48/share in cash, representing a premium of approximately 26 percent to Arbitronís closing price on December 17, 2012. Nielsen has a financing commitment for the total transaction amount. The transaction has been approved by the boards of both companies and is subject to customary closing conditions, including regulatory review.

"U.S. consumers spend almost 2 hours a day with radio. It is and will continue to be a vibrant and important advertising medium," said Nielsen CEO David Calhoun. "Arbitron will help Nielsen better solve for unmeasured areas of media consumption, including streaming audio and out-of-home. The high level of engagement with radio and TV among rapidly growing multicultural audiences makes this central to Nielsenís priorities.Ē

With the addition of Arbitron's assets, Nielsen intends to further expand its 'Watch' segmentís audience measurement across screens and forms of listening. "These integrated, innovative capabilities will enable broader measurement of consumer media behavior in more markets around the world," said Steve Hasker, Nielsen President of Global Media Products and Advertiser Solutions. "We will also bring local clients greater visibility to empower more precise advertising placement and campaign effectiveness."

"Radio reaches more than 92 percent of all American teens and adults because they love to listen to music, talk, news and information while at home, at work and in their cars," said William T. Kerr, President/CEO of Arbitron. "By combining Nielsenís global capabilities and scale with Arbitronís unique radio measurement and listening information, advertisers and media clients will have better insights into consumer behavior and the return on marketing investments."

In the announcement of the deal, Nielsen says that "the combined assets will support Nielsen's strong cash flow characteristics and will enable continued investment in growth initiatives. Excluding estimated transaction costs and purchase accounting adjustments, the acquisition is expected to be approximately $0.13 accretive to adjusted EPS 12 months after the close and approximately $0.19 accretive to adjusted EPS 24 months after the close. Cost synergies associated with the acquisition are expected to be at least $20 million and will be largely driven by the integration of technology platforms and data acquisition efforts."

Breaking News
CBS Radio Signs Michael Martin To Multi-Year Contract Renewal
SportsRadio 94WIP/Philly Adds Joe Decamra & Jon Ritchie To Middays
October 19, 2016
Frankie C Extends Agreement With KZHT/Salt Lake City
Voncile Anderson Named Beasley Director/NTR Sales In Tampa Bay
In Brief - October 19, 2016
October 18, 2016
Rob Stringer Promoted To CEO Of Sony Music Entertainment
iHeartMedia St. Louis Announces The Debut Of The New Alt 104.9
Entercom Agrees To Acquire Four Radio Stations In Charlotte From Beasley Broadcast Group
Ebro Returns To Portland
Townsquare Media Names John Roberts OM For Tyler-Longview, Texas
Jacobs Media & PRPDís 8th Annual Public Radio Tech Survey Released
In Brief - October 18, 2016
October 17, 2016
WFLZ/Tampa Names Kruz Program Director
Republic Records Promotes Wendy Goldstein To Executive Vice President
Alpha Media Mankato Names Bob Rose Market Manager
Corey B. Joins WBBM-FM (B96)/Chicago As New Night Host
October 14, 2016
Race Taylor Re-Ups With WPLJ/New York
Andrew Berger Named Imaging Director For KPWR/Los Angeles
October 13, 2016
iHeartMedia Chicago Names New Night Show Hosts
Emmis Announces Agreement to Sell Texas Monthly
Alpha Media Supports Hurricane Matthew Recovery Relief
KFM-BFM Adds Robin Roth To Roster
October 12, 2016
iHeartMedia Connecticut Names Jagger PD of WKSS & WKCI
Emmis Reaches Agreement To Sell Terre Haute Radio Stations
Music News
Kings of Leon Earn First #1 Album
Quick Hits: Radiohead, Frank Ocean, A$AP Ferg
"Crash" Into Against Me!
Maroon 5 Closes The Top 40 and Hot AC Radio Panels Upon Impact
Jordan Fisher Will Make His Broadway Debut In Hamilton On November 22
Quick Hits: Kanye West, Eminem, Bruno Mars, Gwen Stefani
Pearl Jam, 2Pac & Depeche Mode Lead 2017 Rock Hall Nominees
Green Day Tops Billboard 200 For Their Third Time
Quick Hits: Liam Payne, Rock & Roll Hall Of Fame, Mother Love Bone
Quick Hits: Kings Of Leon, Elton John, Roger Waters
Maroon 5 Debuts New Single Featuring Kendrick Lamar
Louise Goffin To Perform Surprise Concert
Quick Hits: Drake, Depeche Mode
Drake Earns Record-Setting 13 American Music Award Nominations
Solange's A Seat at the Table Is Her First #1 Album

Jon Zellner
EVP/Programming Operations

          Question Of
           The Week

FMQB Member Login

Not a member yet?
Sign up Now!
Sign Up for Breaking News!
Enter FMQB E-Tracking!