One of the largest radio companies in the United States, Audacy, which operates multiple FM and AM stations in Boston, has filed for Chapter 11 bankruptcy. The Philadelphia-based company made the announcement and also revealed that a prepackaged restructuring agreement had been reached prior to the filing. This agreement will allow Audacy to reduce its debt from $1.9 billion to approximately $350 million. The company expects a hearing in February to seek court approval of the plan and reassured that there would be no operational impact from the restructuring, and trade and other unsecured creditors will not be impaired.
The Boston-area stations owned by Audacy include WEEI 93.7 FM, Big 103, Magic 106.7, Mix 104.1, and Channel Q. In a statement, the company emphasized that the restructuring will enable them to continue their digital transformation and take advantage of their position as a leading multi-platform audio content and entertainment company with exclusive premium audio content. However, this filing comes after Audacy was de-listed from the New York Stock Exchange in November after a lengthy process.
This bankruptcy filing comes as a significant move for Audacy, as it aims to reduce its debt and pursue a digital transformation while continuing to operate its radio stations in Boston and beyond. The company’s focus on exclusive premium audio content and entertainment sets it apart in the industry, and the restructuring is seen as a strategic move to position the company for future success. With the expectation of no operational impact from the bankruptcy, Audacy is hopeful that this move will ultimately lead to a more stable financial future.