Audacy, Inc., one of the biggest radio broadcast companies in the United States, has announced that the U.S. Bankruptcy Court for the Southern District of Texas has approved the company’s reorganization plan. With the plan’s approval, Audacy says it expects to emerge from the Chapter 11 process after it obtains approval from the Federal Communications Commission.
In a statement issued on Jan. 7 concerning its filing for prepackaged Chapter 11 bankruptcy protection, the company said it had reached an agreement “with a supermajority of its debt holders.”
David J. Field, chairman, president and CEO of Audacy, said the announcement “marks a powerful step forward for Audacy, positioning the company for an exciting future.” He added that the plan will enable Audacy to pursue its strategic goals and opportunities. “We aim to drive accelerated growth and financial performance, capitalizing on our scaled leadership position, our uniquely differentiated premium audio content, and the robust capital structure that we will have upon emergence.”
Under the approved plan, Audacy will equitize approximately $1.6 billion of funded debt, a reduction of 80% from approximately $1.9 billion to approximately $350 million. Trade and other unsecured creditors will not be impaired.
You can find more information on Audacy’s restructuring, including access to court documents, here.
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