Cumulus Makes Initial Closing On Sale Of Towers To Vertical Bridge

Tower Sale

CUMULUS MEDIA has closed on the initial portion of the sale of its tower portfolio to VERTICAL BRIDGE for $208 million. The closing took place on WEDNESDAY (9/30) and netted CUMULUS $202 million at closing, with $64 million from towers sold and not being leased back and $96 million from towers sold and leased back being applied to pay down the company's Term Loan due 2026 and applied to a render offer for its 6.75% Senior Secured First Lien Notes due 2026.

Pres./CEO MARY G. BERNER said, “We are thrilled to have expeditiously completed the first closing of this significant transaction. Pro forma for its completion and based on our Q2 ending cash balance, we will have reduced net debt by nearly $325 million during 2020 and by nearly $580 million since emerging from bankruptcy in 2018. Our further improved liquidity position and covenant-lite, long-dated debt will continue to support our growth initiatives and allow us to take advantage of accretive opportunities as we navigate through near-term uncertainties to drive long-term shareholder value.”

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