* Kroenke Sports offers $8.75 per share
* Outdoor Channel shares down 1.4 pct at $8.72
* Outdoor Channel pays InterMedia $6.5 mln termination fee
(Adds comment from InterMedia)
March 13 Cable network Outdoor Channel Holdings
Inc agreed to be acquired by Kroenke Sports &
Entertainment LLC for about $8.75 per share in cash, nearly four
months after it accepted an $8.00 offer from Leo Hindery's
InterMedia Outdoors Holdings LLC.
Outdoor Channel shares were down 1.4 percent at $8.72 on the
Nasdaq in early trading on Wednesday.
The offer from Kroenke Sports, the owner of the Denver
Nuggets basketball team and Colorado Avalanche hockey team,
values Outdoor Channel at about $227 million.
Outdoor Channel, which features programming for hunters and
other outdoor enthusiasts, said on March 4 it received an
unsolicited offer from Kroenke Sports, which was followed by a
definitive bid two days later.
Kroenke Sports is owned by Stan Kroenke, who has a majority
stake in Arsenal Football Club.
Outdoor Channel announced on Nov. 16 that it had agreed to
merge with InterMedia Outdoors Holdings LLC in a cash-and-stock
deal valued at roughly $208 million.
"We continue to believe that our proposed merger is the
superior choice for all Outdoor Channel shareholders,"
InterMedia spokesman Alex Howe said in an emailed statement.
"Unfortunately, Outdoor Channel determined that they would
prefer to take cash rather than participate in the significant
combined future upside this combination provided," Howe said.
InterMedia is controlled by private equity investment fund
InterMedia Partners VII, founded by cable veteran Leo Hindery.
Outdoor said on Wednesday it paid InterMedia a $6.5 million
termination fee and it expects the deal with Kroenke Sports to
be completed in the second quarter.
(Reporting by Supantha Mukherjee and Sruthi Ramakrishnan in
Bangalore; Additional reporting by Sagarika Jaisinghani; Editing
by Joyjeet Das and Matt Driskill)