Thursday, October 05, 2023
Salem Media Group is America’s leading multimedia company specializing in Christian and conservative content, with media properties comprising radio, digital media and book and newsletter publishing. Each day Salem serves a loyal and dedicated audience of listeners and readers numbering in the millions nationally. With its unique programming focus, Salem provides compelling content, fresh commentary and relevant information from some of the most respected figures across the Christian and conservative media landscape.
Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.
Jacob Mutchler, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Sells Church Products. On September 29, 2023, the company entered into an agreement to sell the Salem Church Products business to Gloo LLC for $22.5 million in cash and a promissory note in the principal amount of $7.5 million. Additionally, the company announced entering into membership unit purchase agreement with Gloo in exchange for an advertising credit. In our view, the sale is attractive and provides a timely influx of cash that assuages liquidity concerns.
Membership unit purchase agreement. As stipulated in the agreement, the company entered into a put agreement with Gloo Holdings for 833,333 series A membership units, which are redeemable after January 1, 2027 for a minimum price of $10 million. In exchange for the units, the company will provide an advertising credit of $10 million to Gloo Holdings that expires on December 31, 2028.
Get the Full Report
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.