Feds Approve Capstar Radio Merger
Apr. 21, 1999
WASHINGTON (AP) _ The Justice Department agreed Wednesday to allow Capstar Broadcasting Corp. to complete its purchase of Triathlon Broadcasting Co. for $190 million after Capstar agreed to sell five Wichita, Kan., radio stations.
Without the divestiture, Capstar, based in Austin, Texas, would have controlled more than 45 percent of the Wichita radio advertising market, which the government contended would have led to higher prices for radio ads there.
On March 5, the department's antitrust division approved the same Capstar-Triathlon deal on condition that the same five Wichita stations were sold to Connoisseur Communications Partners, but Capstar and Connoisseur later dropped that deal.
This time, Capstar agreed to sell KEYN-FM, KWSJ-FM, KNSS-AM, KFH-AM and KQAM-AM to a buyer that must be approved by the Justice Department.
Capstar owns 309 stations in 76 markets. Triathlon, based in San Diego, owns 31 stations in six markets.