Clear Channel Completes Sale to Providence Equity Partners

Clear Channel Communications said it completed the sale of its television group to Newport Television, a holding company for Providence Equity Partners for $1.1 billion.

The agreement for 56 TV stations is about $200 million less than the terms of the original agreement reached last April.

Clear Channel and Providence have been tied up in litigation over the deal for one month. Clear Channel sued Providence, claiming that the private-equity firm was delaying the closing. Providence, in turn, filed suit against Wachovia for not living up to its commitment to provide financing for the deal. The new TV-station deal settles the outstanding litigation.

Clear Channel hoped to complete the station-group buyout in order to execute a much-larger buyout of the company to private-equity firms.