McGraw-Hill Cos., the finance and media company that is splitting in two, agreed to sell its nine television stations to E.W. Scripps Co. for $212 million.
The stations, part of McGraw-Hill Broadcasting, include ABC affiliates in Denver, Indianapolis, San Diego and Bakersfield, California, Cincinnati-based Scripps said today in a statement. The other five are low-power stations associated with the Spanish language network Azteca America.
McGraw-Hill, based in New York, said on June 14 it retained Morgan Stanley to explore the sale of the broadcast group. McGraw-Hill, which owns Standard & Poor’s, has been reviewing its operations since last year. On Sept. 12, the company said it would split into two companies, one focused on financial information and the other on education publishing.
“This divestiture will produce good value for a non-strategic asset as we work to create two focused operating companies,” Harold “Terry” McGraw, chief executive officer of McGraw-Hill, said in an e-mailed statement.
McGraw-Hill fell $1.06 to $39.94 at 4:15 p.m. in New York Stock Exchange composite trading. The announcement was made after markets closed and the stock was little changed in extended trading.
Scripps fell 26 cents to $6.74 and also was little changed afterward. The stations will add to the company’s portfolio of six ABC stations, three NBC affiliates and one independent, according to the statement. The company also operates newspapers in 13 markets.