Warshaw Makes Second Run at Cumulus


Despite a stock price that is now under $8.00, Connoisseur Media CEO Jeff Warshaw is still interested in purchasing Cumulus. Here’s the latest…

Radio Ink has received information that a second letter of interest was sent to Cumulus Board Chairman Andy Hobson. The letter re-affirmed the desire to buy Cumulus and his offer of $15 to $17 per share was still on the table, despite the sinking stock price. The latest offer also includes a “modest amount of due diligence and demonstrates the capacity to fund the purchase.”

The Cumulus board again unanimously rejected the offer.

Cumulus CEO Mary Berner

Warshaw had no comment for Radio Ink about a second letter. We spoke to a Cumulus board member who said any comment would have to come from CEO Mary Berner.

We reached out to Berner and asked for a comment but did not hear back.

Cumulus rejected Warshaw’s first offer back on May 4th the morning of its Q1 earnings call. Shortly after the first Warshaw offer was leaked to Reuters the Cumulus stock was trading around $15 per share. A letter from Berner stated that the offer significantly undervalued the company. “The Board unanimously believes execution of the company’s strategy will deliver significantly more value to shareholders than this indication of interest.”

The second rejection echoed the first about the price of $15 to $17 per share undervaluing Cumulus.

Last week a new round of employee reductions were taking place at both Cumulus and its network Westwood One. Cumulus currently owns over 400 radio stations in over 80 markets.


  1. I have an investigation done on Cumulus at their Washshington, DC office, done by the District of Columbia Human Resource Office and the EEOC that finds Cumulus at fault of the ADA after plees for help to Mary Berner from an employee and she did nothing.


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