Gray Media Agrees to Purchase American Spirit Media’s Television Stations
Rhea-AI Summary
Gray Media (NYSE: GTN) agreed to acquire American Spirit Media’s six television stations for $50 million, including FOX and CBS affiliates in markets such as Toledo, Jackson, Wilmington, Columbus (GA), Wichita Falls, and Lake Charles.
Gray has completed a first closing, paying $40 million and entering a limited local management agreement. This portion was funded from a $70 million private placement of 7.250% Senior Secured First Lien Notes due 2033. Gray plans to use cash on hand to complete the second closing in Q4 2026, after regulatory approvals. The company expects the deal, along with related debt issuance and preferred stock redemption, to be cash flow accretive, not increase its Consolidated Total Net Leverage Ratio, and to support balance sheet goals.
Positive
- Acquisition of six TV stations for $50 million
- First closing completed with $40 million paid to seller
- $70 million 7.250% senior secured notes due 2033 successfully placed
- Second closing expected in Q4 2026 funded with cash on hand
- Company expects transaction to be cash flow accretive
- Gray does not expect deal to increase its consolidated net leverage ratio
Negative
- Final closing subject to regulatory approvals and customary conditions
- New 7.250% senior secured notes add interest-bearing debt
- Company highlights risk that the transaction may not be completed as expected
News Market Reaction – GTN
In the Jul 1 session, GTN gained 0.50%, reflecting a mild positive market reaction. Argus tracked a peak move of +2.7% during that session. Our momentum scanner triggered 16 alerts that day, indicating notable trading interest and price volatility.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Jun 25 | Leadership appointment | Positive | -9.4% | Named new general manager for WMBF in Myrtle Beach-Florence market. |
| Jun 24 | Awards recognition | Positive | +0.5% | Stations earned national Emmy and IRE honors for investigative journalism. |
| Jun 17 | Product launch | Positive | -4.4% | Launched Political 360 digital advertising solution using Aristotle voter data. |
| Jun 10 | Awards recognition | Positive | -0.7% | Stations and InvestigateTV earned four NAB Service to America honors. |
| Jun 01 | Awards recognition | Positive | +1.5% | Forty-one stations received 93 regional Edward R. Murrow journalism awards. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Recent news has often produced mixed reactions, with several positive operational updates coinciding with short-term share weakness.
Key Terms
senior secured first lien notes financial
private placement financial
consolidated total net leverage ratio financial
senior credit agreement financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
ATLANTA, July 01, 2026 (GLOBE NEWSWIRE) -- Gray Media, Inc. (“Gray”) has reached an agreement with American Spirit Media, LLC (“American Spirit”) to acquire its six television stations for
The American Spirit stations are as follows:
| Rank | Market | Station | Affiliation |
| 81 | Toledo, OH | WUPW | FOX |
| 100 | Jackson, MS | WDBD | FOX |
| 125 | Wilmington, NC | WSFX-TV | FOX |
| 126 | Columbus, GA | WXTX | FOX |
| 149 | Wichita Falls, TX | KAUZ-TV | CBS |
| 176 | Lake Charles, LA | KVHP | FOX |
For more than a decade, Gray (including a predecessor company, Raycom Media) has provided back-office services to five of these stations as well as local news to four of these stations through our own local stations in these markets. Going forward in each of these markets, we expect to leverage our news, sales, and sports strategies for the benefit of the local communities and the public interest.
Earlier today, the parties completed the first of two closings of the transaction through which, among other things, Gray paid
Gray anticipates utilizing cash on hand to complete the second and final portion of the transaction in the fourth quarter of this year following receipt of regulatory approvals and other customary closing conditions, at which time the local management agreement will end.
Consistent with each of Gray’s other television station transactions announced over the past 12 months, the American Spirit transaction furthers our commitment to pursuing prudent tuck-in acquisitions that strengthen our local presence and expand our scale, including establishing two-station footprints in attractive markets. We anticipate that the acquisition - together with the debt issuance and preferred stock redemption that Gray is also announcing today - will be cash flow accretive, will not increase our Consolidated Total Net Leverage Ratio (as defined in our Senior Credit Agreement), and will support our ongoing efforts to improve our balance sheet.
Forward-Looking Statements:
This press release contains certain forward-looking statements that are based largely on Gray’s current expectations and reflect various estimates and assumptions by Gray. These statements are statements other than those of historical fact and may be identified by words such as “estimates,” “expect,” “anticipate,” “will,” “implied,” “assume” and similar expressions. Forward-looking statements are subject to certain risks, trends and uncertainties that could cause actual results and achievements to differ materially from those expressed in such forward-looking statements. Such risks, trends and uncertainties, which in some instances are beyond Gray’s control, include the inability to complete the proposed transaction within the expected timeframe, or at all, receipt of required regulatory approvals, the anticipated benefits of the transaction and other future events. Gray is subject to additional risks and uncertainties described in its quarterly and annual reports filed with the Securities and Exchange Commission from time to time, including in the “Risk Factors,” and management’s discussion and analysis of financial condition and results of operations sections contained therein, which reports are made publicly available via www.sec.gov. Any forward-looking statements in this communication should be evaluated in light of these important risk factors. This press release reflects management’s views as of the date hereof. Except to the extent required by applicable law, Gray undertakes no obligation to update or revise any information contained in this communication beyond the date hereof, whether as a result of new information, future events or otherwise.
About Gray Media:
Gray Media, Inc. (NYSE: GTN) is a multimedia company headquartered in Atlanta, Georgia. We are the nation’s largest owner of top-rated local television stations and digital assets. As of May 15, 2026, we serve 117 full-power television markets that collectively reach approximately
Gray Contact:
Jeffrey R. Gignac, Executive Vice President and Chief Financial Officer, 404-504-9828
Kevin P. Latek, Executive Vice President, Chief Legal and Development Officer, 404-266-8333
Alan Gould, Vice President, Investor Relations, 404-266-8333
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