Citadel Broadcasting is in exclusive negotiations with Cumulus Media to be acquired by Cumulus in a deal worth $37 a share in cash and stock, according to people close to the situation.
The majority of the consideration, some $30 a share, would be in cash and the remainder in Cumulus stock.
Last November, Cumulus made a $31 a share bid for Citadel, which was rejected by the company in December. Since then, Citadel has been pursuing a potential sale and wound up with Cumulus and Entercom Communications bidding against each other.
The deal would be highly leveraged, requiring the $200 million market cap Cumulus to finance a cash payment in excess of $1 billion.