Description

Clear Channel Is Falling Despite A $2.43 Buyout—Is Mark Walter Becoming The Deal’s Biggest Risk?

Clear Channel Outdoor Holdings, Inc. appeared to have a relatively straightforward path toward a $6.2 billion takeover after agreeing in February to be acquired by Mubadala Capital and TWG Global for $2.43 per share. That narrative has become more complicated. Clear Channel shares fell 2.3% following a Bloomberg report detailing financial issues surrounding Mark Walter’s TWG Global, including efforts to address loans on an insurer’s balance sheet that have reportedly drawn scrutiny from federal prosecutors. Walter has also reportedly offered to pledge his stake in Guggenheim Partners while seeking to raise billions, adding another layer of attention to his financial position. The developments arrived alongside reports of Walter selling the Los Angeles Lakers to Josh Kushner and Bob Iger for $12.5 billion.