Scripps to buy McGraw-Hill broadcast unit for $212 mn

McGraw-Hill Cos Inc, the owner of credit rating agency Standard & Poor's, today said that it is selling its nine-station broadcasting unit to media conglomerate E W Scripps Co for $212 million in cash.

Headquartered in Rockefeller Centre in New York City, McGraw-Hill, is selling its broadcasting group that includes ABC affiliates in Denver, Colorado (KMGH-TV), San Diego, California (KGTV), Bakersfield, California (KERO-TV), Indianapolis, Indiana (WRTV) and Azteca America affiliates in Denver, Fort Collins, Colorado Springs, San Diego and Bakersfield.

"This transaction is another step in executing McGraw-Hill's Growth and Value Plan for the benefit of our shareholders, customers and employees," said Harold McGraw III, chairman, president and chief executive officer.

"This divestiture will produce good value for a non-strategic asset as we work to create two focused operating companies, one centered on capital and commodities markets and the other on digital learning and education services,'' he added.

After investor demands, McGraw-Hill, which has brands including Standard & Poor's, S&P Indices, S&P Capital IQ, Platts energy information services and McGraw-Hill Education, had said last month that it planned to split into two listed companies.

The acquisition of the McGraw-Hill stations will extend Scripps relationship with ABC and become the country's largest independent operator of ABC stations.