Kalil & Co. announced last night that InSite MediaCom had sold their assets in Georgia and South Carolina.  Insider spoke with Max Drachman last night about the transaction.

Could you tell us more about the InSite MediaCom transaction?

We’ve had a longstanding relationship with the owners, and assisted them with the divestiture of their assets in Florida and Alabama earlier this year. Their 1,271 faces in this deal blanketed the state of Georgia along with strong coverage in the desirable South Carolina markets near the Georgia line. These assets were assembled through acquisition and organic development for more than ten years and represented one of the largest independents in the southeast by number of faces. The buyer was Trailhead Media. The closing process was efficient, and we are happy to report that both sides were very pleased with the other in terms of the diligence and contract process.

This is a good sized transaction. Were there multiple bidders in the process?

Yes, there was a lot of interest. InSite’s scale was appealing because it is difficult to replicate that number of faces anywhere in the U.S. Outdoor remains an incredibly attractive medium for investment, so assets all over the country will likely benefit from multiple levels of interest when they decide to exit.

Georgia seems to come up a lot in your firm’s announcements, is there something going on there?

That’s a good point, in the last few years we have done a lot of deals in Georgia. A few that come to mind are Boardworks, Trilogy, and the Atlanta Sign (twice), all in the Atlanta area. We’ve also done several deals elsewhere in the state including Southern Digital Displays, Incorvaia (twice), and the Diamond assets in the Savannah area. Those transactions along with the InSite deal represent a significant conglomeration of asset value. Georgia is a dynamic state and Outdoor operators are bullish on its future. We expect this trend to continue, and have more engagements in the state that will likely close prior to year-end.

Does Covid have any impact on your current deals?

From our perspective, Covid itself is not having any impact on valuation. The shutdowns did temporarily hold revenue back in many markets across the U.S. but most buyers see that as a one-time, extraordinary event. The ongoing issues with Covid are something that everyone is aware of (and likely as tired of reading about as I am of writing about it!), but it really does seem like everyone has adapted to operating in this environment and are continuing to move forward.

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