GALAXY CABLEVISION TO ACQUIRE ASSETS OF SUPREME CABLE
GALAXY CABLEVISION TO ACQUIRE ASSETS OF SUPREME CABLE SIKESTON, Mo., Jan. 20 /PRNewswire/ -- Galaxy Cablevision, L.P.
(AMEX: GTV) announced today that it has signed a definitive agreement to acquire certain assets of Supreme Cable Co., Inc., Supreme Cable Texas, Inc., Supreme Cable Metroplex, Inc., Supreme Cable Arizona, Inc., and CableMaxx, Inc., including an existing Multichannel Multipoint Distribution Service ("MMDS") system in Austin, Texas, and channel licenses or leases and other assets relating to various Instructional Television Fixed Service ("ITFS"), Operational Fixed Service ("OFS") and MMDS channels serving the Lubbock, San Antonio, Sherman/Dennison, Temple/Killeen and Waco, Texas and Phoenix, Ariz., communities. MMDS, ITFS, and OFS channels, commonly referred to as "wireless cable" channels in the cable television industry, deliver television programming and other data to subscribers by means of microwave transmitters.
The definitive agreement provides for an aggregate consideration of $21 million for the assets of the systems and $4 million payable pursuant to various non-compete agreements, subject to certain adjustments based upon, among other things, the number of subscribers in the Austin MMDS system and the delivery of other assets at the closing of the acquisition, currently scheduled for July 1, 1992. A total of $10 million of the purchase price is payable pursuant to a note to be secured by a subordinated security interest in the acquired assets. The definitive agreement provides for a non-refundable down payment of $2 million. Completion of the acquisition is subject to a number of conditions, including Galaxy obtaining satisfactory financing. Galaxy engages in the business of acquiring, owning and operating cable television systems and currently serves approximately 51,500 basic subscribers in six states. Galaxy units are traded publicly on the American Stock Exchange under the symbol GTV. -0- 1/20/92 CONTACT: Tommy L. Gleason, Jr., president, or J. Keith Davidson, chief financial officer, of Galaxy Cablevision Management, Inc., 314-471-5022/ (GTV) CO: Galaxy Cablevision, L.P.; Supreme Cable Co. ST: Missouri IN: ENT SU: TNM
KD-KW -- NY051 -- 1544 01/20/92 17:06 EST
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|Date:||Jan 20, 1992|
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