Providence Equity Partners says it was "surprised and disappointed" by Clear Channel’s decision to launch a lawsuit to force the pair’s 1.2B television station deal to closure. And not only that — it says that the litigation nullifies its requirement to pay a break-up fee of about 46M should the deal fail to go through.
"We are surprised and disappointed that Clear Channel would suddenly bring this baseless lawsuit as we were trying to work out a mutually acceptable arrangement in difficult market conditions," said PEP in a statement." PEP went on to say that its only obligation, if all contract stipulations are satisfied, is to pay the break-up fee to get out of the transaction. And it believes that the litigation nulls and voids that plank.