Audacy To Use Grace Period In Cash Crunch

Audacy, Inc. today provided an update on its ongoing discussions with lenders to refinance its debt and optimize the Company’s 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 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 Audacy’s strong operating business and position Audacy for long-term growth.

David Fields

Audacy’s 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.