A Post-Bankruptcy iHeart IPO Is In The Works

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The nation’s top owner of radio stations early Wednesday (4/3) made a Form S-1 filing with the Securities and Exchange Commission.


In it, iHeartMedia notes that it will issue new Class A and Class B shares. But, there are few other details the company is sharing.

The prospectus is not complete; it may be changed. That’s typical of a company’s first step toward making an IPO happen, and that’s what iHeart did at 6am Eastern today via this SEC filing.

The number of Class A shares iHeart is offering is not yet disclosed.

The estimated IPO price for iHeart Class A shares is not known.

The ticker symbol and financial market iHeart Class A shares will trade on was not noted.

But, the company did note that Class B shares will also be included in the offering.

The IPO underwriters are Goldman Sachs & Co. and Morgan Stanley.

The offering will come when iHeart emerges from debtor-in-possession status, expected to occur within the next several weeks. Upon exiting from Chapter 11 bankruptcy protection, iHeart will have reduced its debt to $5.8 billion, from $16 billion.

“We intend to use the net proceeds from this offering to repay indebtedness,” the company said in the filing.

As of 10am, the publicly traded stub of iHeart’s current stock, traded on the highly volatile OTC Pink market, was up to $1.32 per share — returning to levels briefly seen during a mid-February rise-and-retreat spike.

Chances are the IPO could be up to eight times that value. The last 1-year target estimate for iHeart shares was at $10.

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