On Friday, the Walt Disney Company announced the terms of the previously announced deal to sell its ABC Radio Holdings to Citadel Broadcasting.
At the close of business on June 6, 2007, Disney shareholders will receive shares of the newly spun off ABC Radio Holdings company, which will then be immediately sold to Citadel. As the end result, Disney shareholders will receive approximately 0.0766 shares of Citadel stock for each share of Disney stock they own. The entire transaction is expected to be completed on June 12th.
The deal only affects Disney's ABC Radio group. Disney will retain ownership of ESPN Radio and Radio Disney.