ClearChannel

[Walter Graff]

Not good for radio

Clear Channel accepts offer for private buyout of radio, billboard business http://www.gazettenet.com/newsroom/...or-private-buyout-of-radio-billboard-business
SAN ANTONIO - The board of Clear Channel Communications Inc. on Friday accepted a sweetened offer from two Boston-based private equity firms trying to buy the radio and billboard company.

The offer at $39.20 per share is similar to one the board rejected two weeks ago because it didn't believe the half-percent improvement was enough to persuade opposing shareholders to accept the deal. Last week, the board postponed its scheduled vote on the earlier $39 per share offer at the urging of some shareholders.

The new offer by the equity group led by Thomas H. Lee Partners LP and Bain Capital Partners LLC is valued at about $19.45 billion, plus the assumption of about $8 billion in debt.

[EDIT]


[EDIT-post truncated because originating material is copyprotected. Unauthorized use of copyrighted content is in violation of Radio-Info's TOS.]

 

[leethalweapon]

Not good for radio

How about just simply not good for business. The moment a bank steps in and dump's a massive amount of debt on ANY busness, regardless of how successful it is, you just know you are in for a hell ride when the economy slide, and interest rates start going up.

The staff of Qantas in Australia knew this, and fought a hard campaign to get shareholders to reject it, and it worked.

 

[TowerBuzz]

Ohand Clear Channel was so good for radio BEFORE it was privatized?.....

:

 

[Walter Graff]

Ohand Clear Channel was so good for radio BEFORE it was privatized?.....

:

We have a major problem in this country with the onset of these groups that are out to do one thing, have a big payday. They buy these companies make their money and run. It's sort of like corporate rape.

 

[Stewy]

Corporate rape? Well what did you call it when Cheap Channel bought out the mom and pops of the world and then fired all the long time employees doing great jobs but making more money than CC was comfortable with? Molestation??

 

[TowerBuzz]

LMAO

sad but true

 

[Walter Graff]

Corporate rape? Well what did you call it when Cheap Channel bought out the mom and pops of the world and then fired all the long time employees doing great jobs but making more money than CC was comfortable with? Molestation??

Molestation would be a good term for that, but the current trend in business is to buy em out, make a big payday, and move along.

 

[SirRoxalot]

Shell Game

So, the radio pyramid scheme is moving from sole owners to corporations to private equity firms.

Mom & Pop got what they considered to be a big payday when they sold. Clear Channel came in, lopped "expenses", and watched their stock go up & up, based on the promise that "we can always sell stations off for more than what we paid."

Now, the Clear Channel shareholders who got on board when the stock was cheap are looking for a big payday at $39.20 a share. Screw the people who bought in above that number. Private equity firms will come in and either try to cut expenses again, or try to sell off pieces of the company for more than what they paid. Either way, expect them to try and dip into the public's pockets again 3-4 years down the road by taking the company public again.

I hope you're keeping up. Which shell is that pea under again?

 

[RadioStarOne]

SirRoxalot Rings the bell three times! We've got a winner! There goes another one! Hey! He got one who's next?
How about you buddy?

 

[disney fanatic]

What happens if Clear Channel is getting out of the NYC market in the future, I hope that either Cumulus, Entercom, Greater Media or GoodRadio is thinking about purchasing the stations from the NYC market.

 

[stench]

The BALL is always in play.

Quit whining

It ain't your money for gawd's sake...or do you have a piece of this action?