Home Radio News Clear Channel fills its coffers
Clear Channel fills its coffers
2009 is ending on an upbeat financial note for Clear Channel Communications. Clear Channel Outdoor has completed its sale of $2.5 billion in new bonds, not due until 2017, and repaid $2 billion owed to its parent company, whose balance sheet is significantly improved by the move.
The big offering of senior notes, up from an original plan to sell $750 million, was priced last week with a yield of 9.25%. The money has now changed hands.
"The size of the offering was increased significantly," Clear Channel noted in its closing announcement, "reflecting high demand from leading institutional investors as well as investor confidence in the overall strength and competitive position of Clear Channel Outdoor Holdings' businesses."
And the company noted the improvement to the parent company's balance sheet. "In addition to refinancing by Clear Channel Outdoor Holdings of the inter-company note, the offering enables Clear Channel Communications to pay down a significant portion of its senior secured credit facilities, thereby strengthening the capital structure of both Clear Channel Outdoor Holdings and Clear Channel Communications meaningfully in the short and long term," it stated.
RBR-TVBR observation: Whatever else you might say about the people at Clear Channel HQ in San Antonio, they certainly do know their way around Wall Street. Any speculation that CCU would be following Citadel Broadcasting into Chapter 11 is now pretty much dead.
Previous article'Conan O'Brien' and 'Jimmy Fallon' tie their time-slots in 18-49
Next articleTyra Banks to end TV talker