Audacy Announces Termination of Preemptive Rights Offering
Audacy has announced the termination of its previously announced preemptive rights offering, which would have allowed qualifying stockholders to purchase up to 5,000,000 additional shares of Class A and Class B Common Stock at $20.00 per share. The company made this decision after determining it would not receive the necessary approvals to increase its share capital, which was required for the issuance.
The company, which connects with 200 million consumers, operates as a multi-platform audio content and entertainment enterprise, featuring one of the country's two scaled radio broadcasting groups, a digital audio platform, multiple audio networks, an event business, and a podcast studio and network.
Audacy ha annunciato la cessazione della sua offerta di diritti di prelazione precedentemente annunciata, che avrebbe permesso agli azionisti idonei di acquistare fino a 5.000.000 azioni aggiuntive di azioni comuni di Classe A e Classe B a 20,00 $ per azione. La società ha preso questa decisione dopo aver determinato che non avrebbe ricevuto le approvazioni necessarie per aumentare il proprio capitale azionario, requisito fondamentale per l'emissione.
L'azienda, che si connette con 200 milioni di consumatori, opera come un'impresa di contenuti e intrattenimento audio multi-piattaforma, con uno dei due gruppi di radiodiffusione radiofonica più grandi del paese, una piattaforma audio digitale, molteplici reti audio, un'attività di eventi e uno studio e rete di podcast.
Audacy ha anunciado la cancelación de su oferta de derechos preferentes previamente anunciada, que habría permitido a los accionistas calificados comprar hasta 5,000,000 acciones adicionales de acciones comunes de Clase A y Clase B a 20.00 $ por acción. La compañía tomó esta decisión tras determinar que no recibiría las aprobaciones necesarias para aumentar su capital social, lo que era requerido para la emisión.
La empresa, que se conecta con 200 millones de consumidores, opera como una empresa de contenido y entretenimiento de audio multiplataforma, presentando uno de los dos grupos de radiodifusión de radio a gran escala del país, una plataforma de audio digital, múltiples redes de audio, un negocio de eventos y un estudio y red de pódcast.
Audacy는 자격 있는 주주가 5,000,000주 추가의 A급 및 B급 보통주를 주당 20.00 $에 구매할 수 있도록 하는 사전 권리 제공의 종료를 발표했습니다. 회사는 발행을 위한 주식 자본 증가에 필요한 승인을 받지 못할 것이라고 판단한 후 이 결정을 내렸습니다.
2억 명의 소비자와 연결되는 이 회사는 두 개의 대형 라디오 방송 그룹 중 하나, 디지털 오디오 플랫폼, 다수의 오디오 네트워크, 이벤트 사업, 팟캐스트 스튜디오 및 네트워크를 갖춘 다중 플랫폼 오디오 콘텐츠 및 엔터테인먼트 기업으로 운영됩니다.
Audacy a annoncé la cessation de son offre de droits de préemption précédemment annoncée, qui aurait permis aux actionnaires éligibles d'acheter jusqu'à 5 000 000 d'actions supplémentaires des actions ordinaires de Classe A et Classe B à 20,00 $ par action. La société a pris cette décision après avoir déterminé qu'elle ne recevrait pas les approbations nécessaires pour augmenter son capital social, ce qui était requis pour l'émission.
L'entreprise, qui se connecte à 200 millions de consommateurs, opère comme une entreprise de contenu audio et de divertissement multiplateforme, présentant l'un des deux plus grands groupes de radiodiffusion radio du pays, une plateforme audio numérique, plusieurs réseaux audio, une entreprise d'événements et un studio et réseau de podcasts.
Audacy hat die Beendigung seines zuvor angekündigten Bezugsrechtsangebots bekannt gegeben, das qualifizierten Aktionären den Kauf von bis zu 5.000.000 zusätzlichen Aktien der Stammaktien der Klassen A und B zu 20,00 $ pro Aktie ermöglicht hätte. Das Unternehmen traf diese Entscheidung, nachdem es festgestellt hatte, dass es die erforderlichen Genehmigungen zur Erhöhung seines Kapitalstocks, die für die Emission erforderlich waren, nicht erhalten würde.
Das Unternehmen, das mit 200 Millionen Verbrauchern verbunden ist, agiert als ein multimediales Audio-Inhalts- und Unterhaltungsunternehmen, mit einer der beiden größten Radiodiffusionsgruppen des Landes, einer digitalen Audio-Plattform, mehreren Audio-Netzwerken, einem Eventgeschäft sowie einem Podcast-Studio und Netzwerk.
- None.
- Failed to secure shareholder approval for share capital increase
- Terminated planned 5,000,000 share offering at $20.00 per share
- Inability to raise planned capital through stock issuance
Insights
The termination of Audacy's <money>$100 million</money> preemptive rights offering at <money>$20.00</money> per share signals serious challenges in the company's capital raising efforts. The failure to secure stockholder approval for increasing share capital represents a significant setback, particularly given the company's small market cap of <money>$16.9 million</money>. This development suggests deep-rooted concerns among existing shareholders about potential dilution and the company's valuation.
The proposed offering price of <money>$20.00</money> per share appears disconnected from market reality, considering the company's current market situation. This failed capital raise attempt may force Audacy to explore alternative, potentially more expensive financing options or face increased financial pressure. For a media company operating in the highly competitive audio content space, access to capital is important for maintaining competitive positioning and technological advancement.
The terminated rights offering unveils deeper strategic challenges for Audacy in the evolving media landscape. Despite reaching 200 million consumers and maintaining strong positions in news and sports radio, the company's inability to convince shareholders to support this capital raise reflects skepticism about its growth trajectory and digital transformation strategy.
The audio content market is rapidly shifting toward digital platforms, requiring substantial investment in technology and content development. Without this additional capital, Audacy may struggle to effectively compete against well-funded digital audio platforms and streaming services. The failed offering could impair the company's ability to invest in its direct-to-consumer digital audio platform and podcast operations, potentially limiting its competitive position in these high-growth segments.
About Audacy
Audacy, Inc. is a leading scaled, multi-platform audio content and entertainment company that connects with 200 million consumers. Powered by its exclusive, premium audio content that includes unrivaled leadership positions in news and sports radio, Audacy operates one of the country’s two scaled radio broadcasting groups, a rapidly growing direct-to-consumer digital audio platform, multiple audio networks, a major event business and a leading, award-winning podcast studio and network. Learn more at www.audacyinc.com, Facebook, X, LinkedIn and Instagram.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250106631323/en/
For information about this preemptive rights offering:
Latham & Watkins LLP
audacypreemptiverights.lwteam@lw.com
For Information About Audacy:
David Heim
Audacy
David.Heim@Audacy.com
(908) 472-3927
Source: Audacy, Inc.
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