Audacy Responds To Conservative Watchdog's Objection

 Audacy, undergoing Chapter 11 financial reorganization, is facing a challenge related to its change of ownership. Here are the key details:

Ownership Change and George Soros: Audacy seeks to alter its ownership structure, allowing liberal billionaire investor George Soros to acquire a stake in the company. The proposed change has drawn attention due to its implications.

Conservative Group’s Petition: The Media Research Center (MRC), led by Brent Bozell, filed a formal petition to the FCC. MRC objects to what it calls a “Soros shortcut” in the foreign ownership portion of the deal. Audacy’s restructuring plan allows completion while maintaining short-term compliance with foreign ownership limits until FCC approval for indirect foreign ownership of over 25% is secured. Bozell argues that this interim step lacks assurances against impermissible “control or influence” by foreign owners over radio stations.

Audacy’s Response:  Audacy dismisses MRC’s objection as “ill-informed” and an attempt to impede its reorganization. The company points out procedural flaws in Bozell’s petition: MRC failed to serve the petition on Audacy. The petition lacks specific allegations of injury or reasons why the application wouldn’t be in the public interest.

Audacy emphasizes that its prompt emergence from bankruptcy is crucial for station operation and competitiveness. The use of waivers aligns with precedent, and the FCC’s approval process addresses foreign ownership concerns.

Congressional Attention: Representative Chip Roy (R-TX) also raised concerns about Soros’ involvement in the reorganization. Roy urged a thorough review of the deal’s implications before approval.