Clear Channel Outdoor closed the sale of its business in France and retained investment bankers Moelis and Co and Deutsche Bank Securities to assist it in selling Europe North (e.g. UK and Scandinavia). It will also conduct a strategic review of the Latin American business (Mexico, Brazil, Chile, Peru), investor speak for we-are-going-to-test-the-market-to-see-if-there-are-any-buyers. Here’s the press release.
SAN ANTONIO, Oct. 31, 2023 – Clear Channel Outdoor Holdings, Inc. (NYSE: CCO) (the “Company”) today announced that it has closed the previously announced sale of its business in France to Equinox Industries.
Additionally, the Company has initiated a process to sell the businesses in its Europe-North segment, which include operations in the United Kingdom, the Nordics and several other countries throughout Northern and Central Europe. The Company has also initiated a strategic review of its Latin American businesses, which include operations in Mexico, Brazil, Chile and Peru. To date, the Company has sold its businesses in Switzerland, Italy and France and has agreed to sell its business in Spain.
“Clear Channel’s Board of Directors and management team are focused on delivering profitable growth, strengthening our balance sheet and further demonstrating the operating leverage of our model,” said Scott Wells, Chief Executive Officer of Clear Channel Outdoor Holdings, Inc. “Following the sale of our business in France, we have divested, or have agreed to divest, all of our Europe-South segment operations. We continue to take meaningful action to optimize our portfolio and improve our capital structure, including initiating a process to sell our Europe-North segment and conducting a strategic review of our Latin American businesses. We are committed to acting in the best interests of our shareholders and to driving value creation.”
There can be no assurance that the initiation of the process to sell our Europe-North segment and the strategic review of our Latin American businesses will result in any transactions or particular outcomes. The Company has not set a timetable for completion of these processes, may suspend these processes at any time and does not intend to make further announcements regarding these processes unless and until the Company’s Board of Directors approves a course of action for which further disclosure is appropriate.
The Company has engaged Moelis & Company LLC and Deutsche Bank Securities Inc. as financial advisors to assist it with the process to sell the Company’s Europe-North segment. The Company has engaged Moelis & Company LLC as financial advisor to assist it with the strategic review of our Latin American businesses.
Europe-South Segment Moved to Discontinued Operations
During the third quarter of 2023, the Company’s plan to sell the businesses comprising its Europe-South segment met the criteria to be reported as discontinued operations. In accordance with Generally Accepted Accounting Principles, starting with the release of the Company’s third quarter results, assets and liabilities of discontinued operations will be presented separately in the Company’s Consolidated Balance Sheets, and results of discontinued operations will be reported as a separate component of consolidated net loss in the Company’s Consolidated Statements of Loss for all periods presented, resulting in changes to the presentation in certain prior periods’ amounts.
About Clear Channel Outdoor Holdings
Clear Channel Outdoor Holdings, Inc. (NYSE: CCO) is at the forefront of driving innovation in the out-of-home advertising industry. Our dynamic advertising platform is broadening the pool of advertisers using our medium through the expansion of digital billboards and displays and the integration of data analytics and programmatic capabilities that deliver measurable campaigns that are simpler to buy. By leveraging the scale, reach and flexibility of our diverse portfolio of assets, we connect advertisers with millions of consumers every month across more than 330,000 print and digital displays in 19 countries, excluding countries held for sale.
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