iHeartMedia, which owns (sort of...see debt issues) Power 105 and signs CTG's checks, supports, gives back and respects the Culture???
Wondering if Bain Capital is underwriting this season's Kwanzaa celebration at the station?
iHeartMedia Owners Willing to Give Up Vast Majority of the Company
iHeartMedia CEO Bob Pittman
IHeartMedia, the nation’s largest radio conglomerate, has been seeking all year to avoid bankruptcy by renegotiating more than $15 billion of its debt. But the company has had no luck enticing its creditors to take a haircut and defer repayment in exchange for up to 49% of the company’s equity.
The equity holders — Thomas H. Lee Partners and Bain Capital — conceded on Thursday that they are now willing to accept a deal in which they would give up the vast majority of the company’s equity. In a securities filing, the company disclosed that on Nov. 21, it offered the creditors 87.5% of the equity, as well as 87.5% of the company’s stake in Clear Channel Outdoor, its partially owned billboard subsidiary. The company would issue $7 billion in new debt, with a five to seven-year maturity.
On Tuesday, the creditors group — led by mutual fund firm Franklin Resources Inc. — made a counter proposal, offering to take 95.3% of the equity and 100% of the company’s stake in the billboard company. The counterproposal contemplates just $5.75 billion in new debt. The creditors’ proposal also references an option for a pre-packaged bankruptcy.
iHeartMedia Owners Willing to Give Up Vast Majority of the Company