MultiCultural Radio Broadcasting Acquires Radio Unica Communications; Merger Will Produce Nation's Largest Group of Asian-Language Radio Stations

NEW YORK--()--Feb. 9, 2004--MultiCultural Radio Broadcasting Inc., a leading broadcaster of ethnic programming with 30 radio stations across the U.S., today announced the acquisition of Radio Unica Communications Corp. (OTC: BB: UNCA), a Spanish-language radio broadcasting company with 15 radio stations in New York, Los Angeles, Chicago, San Francisco and Miami among other cities.

MultiCultural Radio Broadcasting (MRBI) acquired the station assets for approximately $150 million in cash. The combined company will have 43 radio stations after selected divestitures, making it the 18th-largest radio broadcasting concern in the U.S., based on number of stations owned.

PGP Capital Advisors of Los Angeles acted as the exclusive M&A advisor to MRBI. PGP also assisted MRBI in raising and negotiating the financing for the transaction as part of a pre-packaged bankruptcy of Radio Unica. PGP, an investment-banking boutique, provides "bulge bracket" experience and expertise to mid-cap and small-cap companies, addressing the growing investment banking needs of middle-market companies. PGP is also focused on providing investment-banking services to minority-owned businesses.

MRBI President and CEO Arthur Liu explained that with Radio Unica stations, his company now owns 43 stations across the United States. In acquiring Radio Unica, MRBI will add, after selected divestitures, 13 radio stations in major markets to its existing 30 stations and other media interests. While these stations encompass a wide variety of ethnic audiences, the acquisition of Radio Unica is expected to propel MRBI's business strategy to grow the Asian language radio market.

Liu said, "With Radio Unica's assets we are solidifying our position as the leading radio broadcaster of Asian language programming in the country. We expect to convert some of Unica's stations to Asian language programming. Furthermore, we expect to continue adding to our network of Asian broadcasting stations."

Stewart M. Kim, managing partner of PGP Capital, said "What we are about to see in Asian-language media market is the same consolidation we saw in Spanish-language media market, which spawned billion-dollar companies. With the acquisition of Radio Unica, our client is well ahead of the trend."

Kim added, "Everyone thought that Radio Unica would fall into the hands of a large Spanish-language media concern. MRBI's acquisition shows what is now possible in the Asian-language market." Kim said the expectations for the Asian language broadcast market is based on demographics that represent an advertiser's dream. "Our research shows that the Asian-language audience is generally younger, better educated and more affluent than the Spanish or English-language broadcast markets."

About MultiCultural

MultiCultural Radio Broadcasting, Inc. is a leading ethnic media company. MultiCultural owns 30 AM and FM radio stations covering ethnically diverse markets in the U.S. with programming in Mandarin, Cantonese, Korean, Russian, Spanish, Vietnamese and other languages.

About PGP

PGP, an investment-banking boutique, provides "bulge bracket" experience and expertise to mid-cap and small-cap companies, addressing the growing investment banking needs of middle-market companies. PGP is also focused on providing investment-banking services to minority-owned businesses. Throughout their careers, PGP's principals combined have completed nearly 80 transactions with an aggregate value of $25 billion.

PGP's target size for M&A transactions ranges from $25 million to more than $500 million in enterprise value. The company reviews every potential M&A assignment and accepts transactions based on the merits, not merely on the size of the deal. Valuation and fairness opinion assignments are also reviewed on a case-by-case basis.

About Radio Unica

Radio Unica Communications Corp is based in Miami, Florida and its operations include the Radio Unica Network and an owned and/or operated station group covering U.S. Hispanic markets including Los Angeles, New York, Miami, San Francisco, Chicago, Houston, San Antonio, McAllen, Dallas, Fresno, Phoenix, Sacramento, and Tucson.

Contacts

Stern & Co.
Stan Froelich, 212-888-0044
Or
Fred Muir & Associates
Fred Muir, 310-278-9321
fredmuir@sbcglobal.net

Contacts

Stern & Co.
Stan Froelich, 212-888-0044
Or
Fred Muir & Associates
Fred Muir, 310-278-9321
fredmuir@sbcglobal.net