19. SUBSEQUENT EVENTS

FCC Auction for Broadcast Spectrum

The Federal Communication Commission recently completed the reverse auction for broadcast spectrum, which resulted in anticipated proceeds of approximately $264 million for the Company. The anticipated proceeds reflect the FCC’s acceptance of one or more bids placed by the Company during the auction to modify and/or relinquish spectrum usage rights for certain of the Company’s television stations.  The Company does not expect that the modification and/or relinquishment of the spectrum usage rights will result in material changes in the operations or results of the Company. Proceeds are expected to be received in the second half of 2017.  

Acquisition of Headway

On March 2, 2017, Entravision entered into a definitive agreement to acquire the business of Headway, a provider of digital marketing solutions primarily in the United States, Mexico and Latin America.  The transaction, which will be funded from Entravision’s cash on hand, includes an initial payment of approximately $12 million and up to $34.5 million in contingent earn-out payments based upon the achievement of certain performance benchmarks. The transaction is expected to close early in the second quarter of 2017.