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Urban One Cashes Out Equity Stake In MGM National Harbor For $145 Million

Urban One Cashes Out Equity Stake In MGM National Harbor For $145 Million

Urban One

Alfred Liggins, CEO of Urban One, Image: Anita Sanikop

Media conglomerate Urban One has completed the sale of its minority stake in Maryland-based MGM National Harbor resort and casino.

Urban One, the country’s largest Black-owned broadcasting company, has cashed out of its investment in MGM National Harbor. The family-owned media company, led by Alfred Liggins, received about $136.8 million after issuing a “put notice” that required MGM National Harbor to buy back all of the media company’s minority investment in the gaming resort, Inside Radio reported.

Based in Silver Spring, Maryland, Urban One was founded in 1980 by Cathy Hughes. Today, it operates 55 radio stations and majority-owning the syndicator Reach Media, as well as its digital arm Interactive One and the cable network TV One.

MGM National Harbor is a casino hotel in National Harbor, which opened on December 8, 2016, and was constructed at a cost of $1.4 billion.

In a recent regulatory filing, Urban One revealed it issued the notice to the gaming company on March 8 and settled the transaction on April 21. In addition to the settlement amount, Urban One says it received $8.7 million from its annual distribution from MGM for the 2022 fiscal year.

This is a major profit on the company’s initial $40 million investment made in MGM National Harbor, Washington Business Journal reported.

Urban One seems to have major plans ahead. It’s been working with Churchill Downs Inc. to build a major new casino and resort complex in Richmond and Urban One would be the majority investor.

The company has also been buying radio stations to expand outside the urban radio demographic. In April, it spent $27.5 million deal to acquire Cox Media Group’s Houston radio cluster: Country “93Q KKBQ-FM, the classic rock “Eagle 106.9 & 107.5” simulcast of KHPT-FM and KGLK-FM, and classic country “Country Legends 97.1” KTHT-FM.

Alfred Liggins, CEO of Urban One, Image: Anita Sanikop