GATINEAU — The CRTC today approved an application by Acadia Broadcasting Limited to acquire two Halifax radio stations — CKHY-FM (Jewel 105) and CKHZ-FM (Hot Country 103.5) — which are owned and operated by Evanov Communications.
The proposed value of the transaction ($5,120,167) was approved by the Commission in its decision today. This price includes the purchase price, the amount of working capital at the time of the application in September 2020 (to be transferred at closing), and the value of assumed leases calculated over 60 months.
In its approval of the radio station purchases, the Commission denied Acadia’s request for an exception to the payment of tangible benefits and has directed the broadcaster to pay tangible benefits totalling $307,210, which is 6% of the transaction’s value, over seven consecutive broadcast years and standard Commission practice. However, rather than requiring Acadia to make equal payments over the seven years, as an exception to its general approach, the Regulator is allowing the broadcaster to make lower payments in the first two years and more significant payments in the subsequent five years.
The Commission has also denied Acadia’s request to delete or modify Jewel 105’s and Hot Country 103.5’s respective conditions of licence relating to the broadcast of Canadian popular music selections. Acadia wanted to lower the popular music broadcast requirement for the two stations to 35% of their programming in each broadcast week and during daytime hours on weekdays, as opposed to their current requirement to devote at least 40% of musical selections to Canadian popular music in each broadcast week.
However, Acadia’s request to delete Jewel 105’s condition of licence related to special interest music programming has been approved by the Commission.
The new broadcasting licences for CKHY-FM and CKHZ-FM will expire on August 31, 2026.
