Clear Channel Delays Shareholder Vote
May 7, 2007 at 11:12 AM (PT)
CLEAR CHANNEL COMMUNICATIONS is delaying a shareholder vote that was scheduled for TOMORROW (5/8), on whether to accept an offer to take the company private, as it considers a revised bid made last week.
The vote is now scheduled for TUESDAY, MAY 22. The official announcement from CLEAR CHANNEL can be read here.
CLEAR CHANNEL said in a statement that it is in discussions with BAIN CAPITAL and THOMAS H. LEE PARTNERS regarding a possible change in the terms and structure of the proposed merger between an affiliate of the private equity group and CLEAR CHANNEL, and said the MAY 22 date would " allow the board of directors sufficient time to complete its discussions with the private equity group."
Currently under discussion is a proposal that contemplates an increase in the merger consideration to be paid to all shareholders from $39.00 to $39.20 per share and the opportunity for each unaffiliated shareholder to elect between cash and stock in the surviving corporation in the merger (up to an aggregate cap equivalent to 30% of the outstanding shares immediately following the merger (or approximately 6% before the merger).