A small digital company, according to an SEC filing on Wednesday. Everything is going digital, including local ad revenues. A day doesn’t go by without a report about how Google, Facebook and other digital and social media companies are taking billions of ad revenue away from traditional media. The radio industry has also been searching for ways to tack on to their digital revenue totals.
Townsquare, for example, has made it point to tout its digital successes, led by a division that builds a cohesive online plan for thousands of local businesses around the country. Townsquare hires the digital experts, salespeople make the calls on small and medium-sized business, who don’t have the time to create their own online presence, and for a modest monthly fee, Townsquare takes care of it.
Then, of course, there’s podcasting, which many radio companies have been bragging about since the pandemic started. Although, that’s more of a national revenue play, not so much local. And, radio stations have their websites to sell banners, videos, and other ads.
Audacy didn’t say much about what its planning to buy but we should find out soon enough. They plan to close on the acquisition this month. Audacy will pay for their new digital company by issuing $45 million in notes and expects to fund the digital acquisition through a draw on the issuer’s revolving credit facility.
Audacy also mentioned in its filing that for Q3 it estimates its total revenues to be between $327 million and $330 million or up 22% to 23% compared to the same period in 2020.