Good post! Clearly KXOS is not working out for Grupo. They are probably eager to get out of their agreement to buy it from Emmis for $110MM.
I do not see Merlin paying $110MM though. More likely, they will pay some number between $70 and $90MM to Emmis. Grupo may pay the rest to Emmis. Emmis has the right to put the station to Grupo for the full amount of $110MM in a few years, so I do not see them taking a lot less than $110MM. It is also possible that Emmis accepts less than $110MM in return for a minority stake, of say, 25%, similar to the deal they did with Merlin for some of their East Coast properties.