Clear Channel To Sell Stake In Clear Media For $253 Mln; Withdraws 2020 Outlook

(RTTNews) - Clear Channel Outdoor Holdings Inc. (CCO) said that it has entered into an agreement to irrevocably tender to sell its 50.91% stake in Clear Media Limited, an indirect, non-wholly owned subsidiary of the Company based in China, to Ever Harmonic Global Limited.

Ever Harmonic will acquire the company's stake in Clear Media for HK$7.12 per share, or about US$253 million in cash, as part of a proposed voluntary conditional cash offer made by and on behalf of Ever Harmonic.

Clear Channel plans to use the anticipated net proceeds of approximately $220 million from this transaction to improve its liquidity position and increase financial flexibility.

The company announced temporary salary reductions including 30% reductions for both the company's Worldwide CEO, William Eccleshare and Americas CEO, Scott Wells.

The company has withdrawn its guidance for 2020 in response to the impact of COVID-19.