George Soros Targeting Audacy, Cumulus Media

George Soros, through his investment firm Soros Fund Management, has been making significant moves in the US radio industry. Recently, the fund acquired a majority stake in the bankrupt radio company Audacy.

Audacy, which is the second-largest radio firm in the US (trailing behind iHeartMedia), now falls under Soros’s control. This investment could potentially signal the beginning of a broader audio-buying spree. Interestingly, Soros’s fund has also privately considered acquiring other major radio companies, including the well-known AM and FM giant Cumulus Media.

Here are some key points about Soros’s involvement:

Audacy Ownership: As the largest shareholder in Audacy, Soros Fund Management already owns 230 radio stations nationwide, including prominent ones like WFAN and 1010 WINS in New York, as well as KROQ in Los Angeles. Additionally, Audacy’s podcast arm, which includes Pineapple Street Studios, is also part of Soros’s portfolio.

Debt Acquisition: In addition to the equity stake, Soros’s fund took on approximately $400 million of Audacy’s substantial debt during the corporate maneuver.

Media Investments: Soros’s lead media investor, Michael Del Nin, has been actively engaging with players in the digital media and audio space. He has explored potential acquisitions, including podcasting firms like Project Brazen, Pushkin Industries (co-founded by Malcolm Gladwell), and Lemonada Media (known for its show with Julia Louis-Dreyfus).

Regulatory Considerations: It’s worth noting that the Federal Communications Commission (FCC) has regulations limiting the number of radio stations a single entity can own. With its stake in Audacy, Soros Fund Management already controls a substantial portion of the radio landscape.