The Newfoundland Capital Corporation (Newcap) the parent company of Q91 Radio in Drumheller, is exploring the possibility of selling its broadcasting assets in Western Canada.
At this point, the company is simply looking into the idea, and no agreement is in place.
Newcap owns 32 radio stations, six repeater licences and two television stations in Western Canada, located primarily in Alberta. According to a press release, if the company is able to reach an agreement at a value the company considers appropriate, the use of proceeds will be determined by the board of directors in the best interests of the company and its shareholders. This may include reinvesting in geographic areas closer to its base in Atlantic Canada, reducing debt or returning capital to its shareholders.
“These broadcasting assets have a strong track record of earnings,” commented Rob Steele, President and Chief Executive Officer. “This is a great opportunity for potential buyers, as this is the first time in many years that a cohesive group of broadcasting assets has been for sale in one concentrated area in one of Canada’s most prosperous provinces.”
