Sinclair Broadcast Group is said to be looking to buy the Tennis Channel.
As The Wall Street Journal reports, Sinclair would have a difficult time adding more local TV stations to its portfolio, but adding cable channel like the Tennis Channel would be a smart way to diversify its offerings.
The Tennis Channel, which is available in about 35 million homes, has considered a sale for some time. However, finding someone willing to pay the premium its private equity owners are seeking has proved challenging. Its owners are seeking a price north of $500 million, a person with knowledge of the matter said.
A Tennis Channel spokesman declined to comment on what he characterized as speculation. Sinclair did not respond to requests for comment.
While the discussions between Sinclair and Tennis Channel are preliminary, the Baltimore-based broadcaster is clearly interested in growing beyond its roots. It owns a local news cable channel in Washington, D.C. and Tennis Channel was just one of several other cable channels Sinclair has looked at.