Streaming music provider iHeartMedia files Chapter 11 bankruptcy
The iHeartRadio app is the second highest grossing music streamer on Google Play
Thanks to the Chapter 11 filing, the app will continue to operate as normal. And iHeartMedia adds that it should be able to fund continuing day-to-day operations from cash on hand and cash generated by its ongoing business activities. The company's stock, which trades on NASDAQ under the ticker symbol IHRT is currently trading at 59 cents, up 23%. The shares traded as high as $18.95 in September 2008 shortly after its IPO.
"iHeartMedia has created a highly successful operating business, generating year-over-year revenue growth in each of the last 18 consecutive quarters. We have transformed a traditional broadcast radio company into a true 21st century multi-platform, data-driven, digitally-focused media and entertainment powerhouse with unparalleled reach, products and services now available on more than 200 platforms, and the iHeartRadio master brand that ties together our almost 850 radio stations, our digital platform, our live events, and our 129 million social followers. The agreement we announced today is a significant accomplishment, as it allows us to definitively address the more than $20 billion in debt that has burdened our capital structure. Achieving a capital structure that finally matches our impressive operating business will further enhance iHeartMedia’s position as America’s #1 audio company."-Bob Pittman, Chairman and Chief Executive Officer,iHeartMedia
source: iHeartMedia
