Wins Round 2
iHEARTMEDIA has scored another victory in TEXAS state court in its legal battle to fend off a declaration of default by its lenders, as a state appeals court has upheld the BEXAR COUNTY Court decision ruling that the company’s transfer of stock into a protected subsidiary, BROADER MEDIA, was allowed under the terms of the loans, reports DOW JONES/FOX BUSINESS.
OCH-ZIFF CAPITAL MANAGEMENT GROUP LLC and FRANKLIN RESOURCES INC., the lead dissenting shareholders, contended that the move, under which shares in CLEAR CHANNEL OUTDOOR HOLDINGS were moved into BROADER MEDIA, was barred by the terms of the priority guaranteed notes, but the court in the company’s home county gave iHEARTMEDIA the win in MAY 2016 and the appeals court affirmed that decision TODAY (10/11). The lenders are likely to appeal the case to the TEXAS Supreme Court.
This Article Was Originally Posted at www.allaccess.com