Audacy has announced it has skipped an $18 million debt payment that was due on Saturday, September 30th, in hopes of restructuring with its current lenders.
The company’s decision triggers a 30-day grace period, which the company claims it will utilize to “continue its dialogue with lenders regarding a potential plan to strengthen its capital structure to support Audacy’s strong operating business and position Audacy for long-term growth”.
The lack of payment does not affect the company’s ability to operate going forward.
“We continue to engage in discussions with our lenders as we execute on our overall growth strategy and remain focused on investing in our people, platform, content, and technology capabilities to serve our listeners and customers,” said Audacy Chairman, President, and CEO David Field.
“We continue to drive progress across our key performance metrics, meaningfully advance our ad tech and product roadmap, and enter new partnerships to enhance content, distribution, and monetization opportunities.”
The news of the company’s skipped debt payment comes months after it announced revenue had dropped 6.6% in the second quarter of 2023. Earlier this year, it conducted a reverse stock split in hopes of returning the stock price to more than $1 per share. However, as of publication, Audacy is trading at 43 cents per share.
