As expected,CBS Radio Inc. filedfor an initial public offering of its common shares as part of 's plans to spin off the radio division.
CBS plans to separate CBS Radio via a tax-free splitoff, andplans to sell all of CBS Radio shares that it will indirectly own upon thecompletion of the IPO after the "lock-up" period, according to a July8 registration statement. The number of shares to beoffered and the price range for the proposed offering have not yet beendetermined.
The company also granted underwriters a 30-day option topurchase additional shares of common stock to cover overallotments.
CBS could sell CBS Radio common stock via differenttransactions if it fails to proceed with the splitoff. The company could alsodecide not to dispose of the common stock.
CBS Radio plans to distribute a portion of the net proceedsto CBS. The remaining amount for general corporate purposes and ongoing cashneeds. CBS Radio intends to complete two pre-offering financing transactionsbefore completing the IPO.
The company did not name any underwriters in the filing.