Coming close to frustrating the ambitions of British Telecommunications Plc affiliate McCaw Cellular Communications, LIN Broadcasting Corp and BellSouth Corp have amended their definitive agreement for merger of their US cellular telephone interests based on a revised proposal by BellSouth, and LIN has exercised its right of first refusal to buy Metromedia’s 46% cellular interests in New York City for $1,900m. Under terms of the amended agreement, LIN will declare a special cash dividend of $42 per share to be paid shortly before the merger, an increase of $22 a share. The dividend is supported by BellSouth’s increased tangible asset contribution of $1,250m in excess of the assets contributed by LIN.
