Cumulus Media Inc. completed its financial restructuring and emerged from Chapter 11 after reducing its debt by more than $1 billion.
Pursuant to the restructuring, the Atlanta-based radio broadcaster reduced its total debt balance to $1.30 billion from $2.34 billion, consisting entirely of a term loan bearing interest at London Interbank Offered Rate plus 450 basis points and due May 15, 2022, the company said June 4.
The company's previously outstanding equity was also canceled and certain former stakeholders are being issued 11,052,211 shares of the company's class A common stock, 5,218,209 shares of the company's class B common stock and warrants to purchase 3,729,589 shares of common stock in exchange for their prior claims.
Cumulus Media had Paul Weiss Rifkind Wharton & Garrison LLP as legal counsel; PJT Partners Inc. as financial adviser; and Alvarez & Marsal as restructuring adviser.
