Clear Channel Says Bank Syndicate Funds Takeover
May 23, 2008 at 5:24 AM (PT)
CLEAR CHANNEL COMMUNICATIONS on THURSDAY said the bank syndicate providing the financing has fully funded the company's $17.9 billion takeover by private equity funds THOMAS H. LEE PARTNERS and BAIN CAPITAL, reports REUTERS.
Earlier this month (NET NEWS 5/13), the bank syndicate, the private equity buyers and CLEAR CHANNEL struck a deal to lower the deal's price and settle litigation between the parties.
In MARCH, THL and BAIN filed complaints (NET NEWS 3/26) in NEW YORK and TEXAS against the six WALL STREET banks -- CITIGROUP, MORGAN STANLEY, CREDIT SUISSE GROUP, ROYAL BANK OF SCOTLAND, DEUTSCHE BANK AG and WACHOVIA CORP -- to enforce their agreement to fund the buyout.
Central to the dispute was the hit the banks would take in funding the deal, given the deteriorated lending conditions.