• Get involved.
    We want your input!
    Apply for Membership and join the conversations about everything related to broadcasting.

    After we receive your registration, a moderator will review it. After your registration is approved, you will be permitted to post.
    If you use a disposable or false email address, your registration will be rejected.

    After your membership is approved, please take a minute to tell us a little bit about yourself.
    https://www.radiodiscussions.com/forums/introduce-yourself.1088/

    Thanks in advance and have fun!
    RadioDiscussions Administrators

Beasley's Future

B

bigdonho

Beasley stock is currently around around 65 cents a share bringing their market cap to just under $20 million. They have $446 million in liabilities including $298 million in debt. What is their future?

If they can't roll over the debt I assume they will need to go to some form of bankruptcy. If that happens, what happens to the current stock that are 65% owned by the Beasley family?

Is the current financial state due to the state of the industry, bad luck or bad management?

I look forward to your comments.
 
Beasley appears to have adequate liquidity in the near term.

The major debts are not due until February 2026, so "rolling over" would not need to occur until then.

There's no use speculating about how an event that won't occur for two years (a debt restructuring) will go down.
 
Exactly. All this basing the liquidity of a company on its publicly traded stock price is arriving at overly simplified and inaccurate conclusions. Unless you look at their balance sheet, you're just whistling into the wind.
 
Following on the Beasley refinance, there's an announcement that Cox is also seeking to refinance its debt:

www.insideradio.com

Cox Media Group Eyes Refinancing With Exchange Offer.

Another broadcaster is seeking some balance-sheet breathing room as it looks to move some of its maturing debt from 2027 to 2029. Cox Media Group is looking to exchange its
www.insideradio.com www.insideradio.com

The difference between Cox & Beasley is that Cox is a private company, with no stockholders, and most of its debt is held by Apollo Global Management, who is unlikely to foreclose.
 
Beasley swapped their bonds out on pretty favorable terms until 2028.
And they’ve been cutting costs pretty aggressively. Their stock has actually been rebounding as investors are anticipating profitability.
They were basically breakeven last quarter, and have pretty much always been cash flow neutral to slightly positive. Add on the $10m cost cutting in May, and the new bond exchange that will save them about $6m per year. As long as revenue stabilizes they should be consistently profitable going forward.
 
golfbum88 said:
Beasley swapped their bonds out on pretty favorable terms until 2028.
And they’ve been cutting costs pretty aggressively. Their stock has actually been rebounding as investors are anticipating profitability.
They were basically breakeven last quarter, and have pretty much always been cash flow neutral to slightly positive. Add on the $10m cost cutting in May, and the new bond exchange that will save them about $6m per year. As long as revenue stabilizes they should be consistently profitable going forward.
Click to expand...
Good analysis. The trading is so light on this one I have not bought, but would consider buying a couple of thousand shares and watching it carefully!
 
bigdonho said:
Beasley stock is currently around around 65 cents a share bringing their market cap to just under $20 million. They have $446 million in liabilities including $298 million in debt. What is their future?

If they can't roll over the debt I assume they will need to go to some form of bankruptcy. If that happens, what happens to the current stock that are 65% owned by the Beasley family?

Is the current financial state due to the state of the industry, bad luck or bad management?

I look forward to your comments.
Click to expand...

What is their stock symbol?

Is it BBGI?


Never followed this stock but when they went public what was the share price? Did the family receive the proceeds of the shares sold to public. Based on their sale of the Atlanta AM station's land one has to ask, did the family keep all of the company's AM station's land? The family might have made some real money in this business.
 
BBGI went public in February of 2000. The share price was roughly $250, so the IPO was worth $350 million. I don't know how much went to the Beasley family, but I'm sure it was a majority.
 
Phil Harmonic said:
So thankful I got to work for George Beasley, he was a very cool owner. He went from working in the tobacco fields, to becoming a teacher, then a high school principal, and then to radio.
Click to expand...
Met George when I was in college and working at the competing radio station in Dunn NC. Years (many, many years) later I wound up working for Beasley. He was fun, funny and smart. George was a class act!
 
Status
This thread has been closed due to inactivity. You can create a new thread to discuss this topic.


Back
Top Bottom