*Byron Allen’s broadcast stations have reportedly been late in making payments to network owners, leading to friction with potential deal partners.
According to CNBC, Allen Media Group’s broadcast stations have been up to 90 days overdue on payments to major networks like ABC, CBS, and NBC, totaling tens of millions of dollars annually. The delays have frustrated the networks despite agreed-upon payment plans.
The reasons for the persistent lateness are unclear, and the company has faced recent layoffs, with more expected. Allen Media Group declined to comment on the specifics but highlighted its growth and status as a major Black-owned media company.
Per CNBC, “ABC, CBS and NBC have all grown increasingly frustrated after what feels like a perpetual chase for the fees — even after agreeing to payment plans at Allen’s request, the people familiar said,” the outlet writes.
Allen Media Group owns 27 ABC-NBC-CBS-FOX network affiliate broadcast television stations in 21 U.S. markets and twelve 24-hour HD television networks serving nearly 220 million subscribers. AMG also produces, distributes, and sells advertising for 71 television programs, making it one of the largest independent producers/distributors of first-run syndicated television programming for broadcast television stations.
Representatives for Allen Media Group said in a statement, “Mr. Allen started Allen Media Group 31 years ago from his dining room table. Allen Media Group is now one of the largest and fastest growing privately-held media companies in the world and is 100 percent Black-owned.
“Like most media companies and private equity firms, we evaluate many acquisition opportunities. In the last few years, the company has successfully completed well over $1 billion in acquisitions with the continued support of the capital markets. Allen Media Group remains strong, and we continue to prudently manage our partner relationships as we have always done over our 31-year history,” the statement said, per CNBC.
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