Paramount has hired a bank to explore a potential sale of a dozen TV stations that may not be core to the company, according to Bloomberg.
The outlet reported that the independent stations, which include those in markets such as New York, Philadelphia, Dallas and Tampa and some of which that used to be CW affiliates, could fetch $500 million to $1 billion in a sale and are expected to draw interest from private equity firms and other broadcasters.
Bloomberg emphasized that the discussions were in a preliminary stage and that potential buyers would be better positioned after the U.S. presidential election in November, when there will be more clarity on the regulatory environment.
Representatives for Paramount declined to comment.
Bloomberg’s report comes after Paramount co-CEO Chris McCarthy said during the company’s second quarter earnings call that leadership is “aggressively evaluating our portfolio with the goal of improving our balance sheet.”
“The set of assets that make up Paramount Global today were built up through the rise of linear. And while we have strong brands and businesses, we must reshape our portfolio to best compete in the future,” McCarthy said at the time. “The assets under consideration are undeniably strong with exciting futures ahead but will be better served on their own or as a centerpiece of another business.”
Four individuals familiar with the co-CEOs’ plan previously told TheWrap that possible assets that could be put up for sale include BET, VH1, Pluto TV and the Paramount lot, which would be leased back for the studio’s use.
In addition to divesting assets, McCarthy, Brian Robbins and George Cheeks have also previously said they’re in “active discussions” about possible strategic partnerships or joint ventures. The company has also begun reducing 15% of its total U.S. workforce, with plans for the layoffs to be 90% completed by the end of September.
Paramount reported a market cap of $8.08 billion and stock price of $11.33 per share at the end of Monday’s trading session. Its stock has fallen 73% in the past five years, 23% in the past year and 21% year to date, but are up 2% in the past six months and 1.25% in the past month.
