As RBR+TVBR first reported on Sunday (1/7), audio content creation and distribution company Audacy Inc. has reached an agreement with a “supermajority” of its debtholders on a financial restructuring that the company founded as Entercom believes “will significantly deleverage Audacy’s balance sheet and further position Audacy for long-term growth.”
The voluntary Chapter 11 filing, which was largely expected, is designed to resolve Audacy’s $1.9 billion in debt. To do it, Audacy shareholders that don’t cash out now stand to lose out on their entire investment. This sent shares tumbling further on Monday.
Meanwhile, it became known that Audacy, headquartered in Philadelphia, did not file for bankruptcy in Pennsylvania but, instead, in Texas.
