Clear Channel Outdoor Holdings, Inc. is selling its Europe-North segment to Bauer Radio Limited for $625 million in a move to optimize its business focus and reduce debt.

Target Information

Clear Channel Outdoor Holdings, Inc. (NYSE: CCO) has announced the sale of its Europe-North segment to Bauer Radio Limited, a subsidiary of Bauer Media Group, for a total of $625 million. This all-cash transaction is subject to customary adjustments and is expected to close in 2025, pending regulatory approvals. The deal reflects a transaction multiple of approximately 6.5 times the segment's results, which are projected at about $97 million for the twelve months ending September 30, 2024.

Clear Channel's CEO, Scott Wells, emphasizes that this divestiture is a pivotal move in the company's strategic plan to optimize its portfolio, focusing on strengthening its operations in the Americas and Airports. The anticipated net proceeds from this sale will first be utilized to fully pay off outstanding term loans amounting to $375 million, with any remaining balance directed towards other debt obligations.

Industry Overview

The media and advertising industry in Europe has been experiencing significant transformation, primarily driven by the accelerating shift towards digital platforms. Traditional media businesse