Audacy is the U.S.’s 2nd-largest radio broadcasting and podcasting company, only behind iHeartMedia. The company’s foundation was 1968 under its former name, Entercom Communications, before the name change in 2021. David J. Field is the company’s CEO since 2002 and has seen numerous successes and setbacks of the American media giant. One of those setbacks was the company’s delisting from the New York Stock Exchange last May because of the company’s common stock trading at a very low share price. On Friday, February 16th, Soros Fund Management (run by George soros) officially became the primary shareholder of Audacy, six weeks after the latter filed for Chapter 11 bankruptcy.
Soros Fund Management: Audacy’s saving grace after the bankruptcy filing
According to an article from Billboard, Soros Fund Management acquired a huge amount of Audacy’s debt that totaling about $414 million. According to a source of the New York Post, the fund’s stake is about 40% of the media corporation’s total senior debt. The stake of the debt could potentially lead to a full acquisition of Audacy itself. The undertaking of the 40% debt outweighs the stakes that financial assets powerhouses such as Capital Commercial Finance and Goldman Sachs Asset Management are holding as well.
Responding to the news about Soros Fund Management becoming the primary shareholder, Audacy said in a statement, “The decision by our existing and new debtholders to become equity holders in Audacy represents a significant vote of confidence in our company and the future of the radio and audio business”. Finally, in related news, a hearing to approve the Audacy restructuring plan is planned for Feb. 20 in front of U.S. judge Christopher Lopez in front of a Houston bankruptcy court. For more details about the case information in front of Judge Lopez, click on this link to read about the case that may impact the future of Audacy.