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Suitor extends tender offer for Emmis

June 24, 2010

The suitor for radio station owner Emmis Communications Corp. extended the deadline by which shareholders can accept its buyout offer.

JS Acquisition Inc., a company owned by Emmis Chairman, President and CEO Jeffrey Smulyan, extended the offer to 5 p.m. on July 30.

His company has offered to pay $2.40 per share in cash for all Emmis shares.

As of Tuesday, the prior deadline, nearly 194,000 Class A common shares were tendered. Emmis has 37.8 million common shares outstanding, valuing the offer at about $90 million.

Emmis said the tender offer was being extended to coordinate deadlines with another deal, to exchange the company's 12-percent PIK senior subordinate notes due 2017 for 6.25 percent Series A cumulative convertible preferred stock.

Emmis, based in Indianapolis, expects to start the exchange soon after a review by the Securities and Exchange Commission.

JS Acquisition also said the tender offer no longer requires that its parent, JS Acquisition LLC, get financing from an affiliate of asset manager Alden Global Capital Ltd.

Emmis shares rose a penny each, to $2.26, in late trading Wednesday.

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