Soros Fund Management is set to become the primary shareholder of Audacy following the company’s pending emergence from Chapter 11 bankruptcy.
Court filings show the firm has acquired more than $414 million of Audacy’s top-tier debt, placing it as the majority holder over SI Capital Commercial Finance, Goldman Sachs Asset Management, Mockingbird Credit Opportunities Company, PGIM, and Solus Alternative Asset Management. A source told the New York Post this stake is around 40% of Audacy’s total senior debt.
George Soros, who founded the private investment management fund in 1970, still serves as Chairman.
An Audacy statement said, “The decision by our existing and new debtholders to become equity holders in Audacy represents a significant vote of confidence in our company and the future of the radio and audio business.”
“We expect to emerge from our restructuring process with a strong capital structure and well-positioned to capitalize on our strategic transformation into a scaled leading multi-platform audio content and entertainment company. We intend to continue running our business, executing our strategy and delivering for our listeners and advertisers as we always do.”
Soros Fund Management has a history of prominent radio investments, including 80 million dollars for Latino Media Networks by way of Lakestar Finance. Digital media investments include Vice Media and Crooked Media.
In the proposed bankruptcy plan, current Audacy shareholders would lose their stakes, while senior creditors are set to receive shares in the company once it’s reorganized. The plan is pending a hearing in the US Bankruptcy Court for the Southern District of Texas on February 20.
