(Associated Press via NewsEdge) After several delays, a shareholder vote is imminent on a proposed $19.5 billion buyout of radio giant Clear Channel Communications.
The offer from a private equity group led by Thomas H. Lee Partners LP and Bain Capital Partners was first announced last November but was sweetened several times after some large shareholders signaled they would oppose earlier offers.
The shareholders meeting is scheduled for Tuesday in San Antonio, where Clear Channel is based.
The latest offer of $39.20 per share in cash or stock has appeased at least some of the big holdouts against what could become a privately owned company. Current shareholders also could end up with as much as 30% of the new company.
Those who choose to keep shares in the new company will be issued shares expected to trade over-the-counter, but the shares will not be listed on any major exchange, according to company filings made last month with the Securities and Exchange Commission.
The buyers will also assume $8 billion in debt.
The offer to allow shareholders to keep part of the newly private company is an unusual concession because private equity buyers pay a premium to get total control and fewer regulatory requirements than those required of public companies.
The deal is expected to close before the end of the year. Shareholders as of Aug. 20 are allowed to vote.
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