CCO Pulls European Assets Off The Market

Clear Channel Outdoor Holdings is taking its European outdoor advertising business off the auction block, at least temporarily, due to the weakening euro. The news report didn’t indicate when the assets might go up for sale again, although it is presumably contingent on a stronger euro, according to MediaPost.

The news was first reported by Reuters, which cited a number of unnamed sources familiar with the process.

CCO parent company iHeartMedia was looking to sell its European division for over $2.5 billion, but the prospects for a deal dwindled as the value of the assets, denominated in euros, have declined in dollar terms. The euro has steadily declined in value over the last year, from around $1.39 in May 2014 to just $1.13 today — its weakest showing in 11 years. Over a quarter of this decline came in the last month alone.

There is a good chance of further drops amid mounting anxiety over a potential Greek exit from the euro, as well as stalling economic growth in core Euro zone countries, including Germany and France.

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