UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 8.01 | Other Events. |
On October 2, 2023, Audacy Capital Corp. (“Audacy Capital”), a direct, wholly-owned subsidiary of Audacy, Inc. (the “Company”), elected to utilize the 30-day grace period for the interest payment in the amount of approximately $18 million due on Saturday, September 30, 2023 (and payable on Monday, October 2, 2023, the next succeeding business day) under the senior secured second-lien notes due March 31, 2029 (the “2029 Notes”) pursuant to the terms of the indenture governing the 2029 Notes.
On October 2, 2023, the Company issued a press release announcing that Audacy Capital elected to utilize such grace period for the interest payment. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
As previously disclosed, the Company is actively engaged in discussions with holders of the Company’s indebtedness with respect to a number of potential alternatives regarding a restructuring of the Company’s outstanding indebtedness. At this time, no agreement has been reached regarding the Company’s indebtedness.
Forward-Looking Statements
This Current Report on Form 8-K contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based upon current expectations and involve certain risks and uncertainties, including statements about the restructuring of the Company, anticipated future financial or operational results, and the Company’s financial position. Additional information and key risks applicable to these statements are described in the Company’s reports on Forms 8-K, 10-Q and 10-K and other filings the Company makes with the SEC. All of the forward-looking statements in this Current Report on Form 8-K are qualified by these cautionary statements, and actual results or developments may differ materially from those in these forward-looking statements. The Company assumes no obligation to publicly update or revise any forward-looking statements.
Item 9.01 | Financial Statements and Exhibits. |
(d) Exhibits.
Exhibit |
Title | |
99.1 | Press release issued by Audacy, Inc. on October 2, 2023 | |
104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Audacy, Inc. | ||
By: | /s/ Andrew P. Sutor, IV | |
Andrew P. Sutor, IV | ||
Executive Vice President and Secretary |
Dated: October 2, 2023
Exhibit 99.1
Audacy Provides Capital Structure Update
Continues to Engage in Discussions with Lenders to Deleverage Balance Sheet and Improve Capital Structure to Position Company for Long-Term Growth
Elects to Utilize Grace Period for Interest Payment Due on Senior Secured 2029 Notes
Decision Does Not Impact Day-to-Day Operations or Other Obligations to Advertisers, Employees or Other Stakeholders
Philadelphia, PA October 2, 2023 Audacy, Inc. (NYSE: AUD; OTC: AUDA) (the Company or Audacy) today provided an update on its ongoing discussions with lenders to refinance its debt and optimize the Companys balance sheet to position the Company for long-term growth, capitalizing on its scaled leadership position across the audio market.
To continue to facilitate its discussions with lenders, Audacy has elected to utilize the 30-day grace period for the cash interest payment in the amount of approximately $18 million, due on September 30, 2023 (and payable on October 2, 2023, the next succeeding business day), to holders of its 6.75% senior secured second-lien Notes (the Notes) due March 31, 2029. Audacy intends to utilize the 30-day grace period to continue its dialogue with lenders regarding a potential plan to strengthen its capital structure to support Audacys strong operating business and position Audacy for long-term growth.
Audacys decision does not impact any of its business operations or obligations to advertisers, employees, suppliers or other stakeholders. Audacy continues to focus on growing and enhancing its capabilities as a leading, multi-platform audio content and entertainment company.
We continue to engage in discussions with our lenders as we execute on our overall growth strategy and remain focused on investing in our people, platform, content and technology capabilities to serve our listeners and customers, said David Field, Chairman, President and Chief Executive Officer of Audacy. We continue to drive progress across our key performance metrics, meaningfully advance our ad tech and product roadmap and enter new partnerships to enhance content, distribution and monetization opportunities.
The decision to utilize the grace period will not trigger an event of default under the indenture governing the Notes, and the Company retains the right to make the interest payment to the holders of the Notes through the end of the grace period.
About Audacy
Audacy, Inc. is a leading multi-platform audio content and entertainment company with the countrys best collection of local music, news and sports brands, a premium podcast creator, major event producer and digital innovator. Audacy engages 200 million consumers each month, bringing people together around content that matters to them. Learn more at www.audacyinc.com, Facebook (Audacy Corp), Twitter (@AudacyCorp), LinkedIn (@Audacy-Inc), Instagram (@lifeataudacy) and Threads (@AudacyCorp).
Forward-Looking Statements
This press release contains certain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements, including statements about the Companys ability to improve its capital structure, refinance its debt, optimize its balance sheet and manage its business without disruption during its ongoing discussions with lenders and the Companys expectation for long-term growth, are based upon current expectations and involve certain risks and uncertainties. Additional information and key risks applicable to these statements are described in the Companys reports on Forms 8-K, 10-Q and 10-K, and other filings the Company makes with the Securities and Exchange Commission. All of the forward-looking statements in this press release are qualified by these cautionary statements, and actual results or developments may differ materially from those in these forward-looking statements. The Company assumes no obligation to publicly update or revise any forward-looking statements
Contacts
David Heim
Audacy
212-649-9676
David.Heim@audacy.com
Document and Entity Information |
Sep. 30, 2023 |
---|---|
Cover [Abstract] | |
Amendment Flag | false |
Entity Central Index Key | 0001067837 |
Document Type | 8-K |
Document Period End Date | Sep. 30, 2023 |
Entity Registrant Name | AUDACY, INC. |
Entity Incorporation State Country Code | PA |
Entity File Number | 001-14461 |
Entity Tax Identification Number | 23-1701044 |
Entity Address, Address Line One | 2400 Market Street |
Entity Address, Address Line Two | 4th Floor |
Entity Address, City or Town | Philadelphia |
Entity Address, State or Province | PA |
Entity Address, Postal Zip Code | 19103 |
City Area Code | 610 |
Local Phone Number | 660-5610 |
Written Communications | false |
Soliciting Material | false |
Pre Commencement Tender Offer | false |
Pre Commencement Issuer Tender Offer | false |
Security 12b Title | Class A Common Stock, par value $.01 per share |
Trading Symbol | AUD |
Security Exchange Name | NYSE |
Entity Emerging Growth Company | false |
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