NY Times: Is Clear Channel Planning A Big Refinance?
April 21, 2009 at 4:05 AM (PT)
CLEAR CHANNEL COMMUNICATIONS is seeking to reorganize its debt load by exchanging $2.3 billion worth of bonds, according to a regulatory filing on MONDAY. THE NEW YORK TIMES writes, "The company, which was acquired in a $17.9 billion leveraged buyout last summer, is also considering hiring an adviser to consider further restructuring options for its capital structure, people briefed on the matter said. A CLEAR CHANNEL spokeswoman declined to comment on the matter."
"In the filing, CLEAR CHANNEL said that it would seek to exchange two classes of bonds, which mature in 2016, by midnight on MAY 18th. Through the exchange, investors would receive the new bonds of the same value, but would be senior to existing and future notes.
"Because these new bonds would be registered under the Securities Act, they could be sold, while notes not exchanged would carry restrictions on how they could be sold or transferred."