With the FCC rejecting former CEO Larry Wilson’s bid to thwart Alpha’s reorganization and Thursday’s final bankruptcy court approval, could Alpha once again become a buyer? Let’s find out what the CEO says about that…
In a prepared statement on Thursday, Alpha Media announced it had successfully completed its financial restructuring. The company says it now has the incremental capital to pursue growth opportunities and further enhance its position as a leading mid-market broadcaster across 44 local markets in the United States.
Alpha filed Chapter 11 to restructure its $267 million in debt back in January. The company blamed COVID-19 as the reason for having to file.
No single party will hold a controlling interest in New Alpha. Hamilton Lane Incorporated will control 49% of the equity and voting interests in the company. MetLife will control 43.7% of the equity and voting interests. Intermediate Capital Group, a United Kingdom private limited company, will control 5.8% of the equity.
Alpha will be run by a 5-member board which will include current CEO Bob Proffitt, a director designated by Hamilton Lane, a director designated by ICG, a director designated by all of the equity holders; and an independent directors designated by the other four directors.
Alpha CEO Bob Proffitt said, “This is an important achievement for Alpha Media as we strengthen our Company’s ability to grow. Today Alpha Media begins its next chapter, with an improved financial foundation, new capital and enhanced competitive positioning. We have greater financial resources and flexibility, and we will continue to invest in new digital capabilities to better serve our advertisers and communities across our local markets.”