´Clear Channel Outside Holdings this week agreed to a $6.2 billion take-private transaction with Mubadala Capital and TWG World that values shareholders at $2.43 per share in money. The all-cash deal supplies a 71% premium to Clear Channel’s $1.42 closing value on October 16, 2025, the final buying and selling day earlier than media studies emerged about potential acquirers.
The transaction represents one of many largest leveraged buyouts in outside promoting historical past. Mubadala Capital and TWG World have dedicated roughly $3 billion of fairness capital to the deal, in keeping with Clear Channel’s announcement. Apollo-managed funds agreed to take a position most well-liked fairness, whereas JPMorgan Chase Financial institution and Apollo Funds dedicated debt financing for the transaction.
The acquisition arrives amid accelerating consolidation throughout promoting know-how markets, as private equity firms increased their focus on established ad tech companies all through 2025. Strategic consumers accounted for 71% of scaled advert tech transactions throughout 2025’s first three quarters in contrast with 58% throughout the identical interval in 2024, in keeping with industry analysis published by AdExchanger.
Government change indicators transformation technique
Wade Davis, a media and know-how veteran who partnered with Mubadala Capital and TWG on the transaction, will be a part of Clear Channel as Government Chairman upon deal closure. Davis brings experience from earlier management positions throughout media and know-how firms to assist what buyers characterize as Clear Channel’s “subsequent chapter of transformation.”
“This transaction displays Mubadala Capital’s method to investing: figuring out high-quality companies the place complexity creates alternative and long-term partnership drives worth,” stated Oscar Fahlgren, Chief Funding Officer of Mubadala Capital, in supplies distributed with the announcement. “Clear Channel is a class chief with a powerful platform and important potential forward.”
The investor group emphasised plans to spend money on knowledge, measurement and transaction platforms to unlock what they describe because the “true potential” of out-of-home promoting. Davis said that Clear Channel’s nationwide billboard community and airport stock present “a singular platform to drive the transformation of the outside promoting business.”
The transaction displays broader confidence in out-of-home promoting’s monetary efficiency. Research released in October 2025 by Keen Decision Systems discovered that out-of-home promoting achieves a marginal return on funding of $7.58 per incremental greenback invested, exceeding the common media sort marginal ROI of $5.52 and surpassing print, radio and linear tv.
Monetary complexity created acquisition opening
Clear Channel entered 2025 carrying substantial debt obligations that constrained strategic flexibility and made the corporate susceptible to acquisition approaches. The corporate’s regulatory filings present long-term debt of $5.1 billion as of September 30, 2025, requiring important annual curiosity funds that lowered monetary flexibility.
“We imagine this transaction delivers compelling worth to our shareholders, strengthens our monetary flexibility by lowering debt and growing money movement to spend money on the enterprise, and positions Clear Channel for its subsequent part of long-term development,” stated Scott Wells, Chief Government Officer of Clear Channel, within the announcement supplies.
Throughout 2025, Clear Channel executed a number of debt refinancing transactions to increase maturity dates and scale back curiosity expense. On August 4, 2025, the corporate issued $1.15 billion of seven.125% Senior Secured Notes due 2031 and $900 million of seven.500% Senior Secured Notes due 2033, utilizing proceeds to redeem $1.25 billion of 5.125% Senior Secured Notes due 2027 and $750 million of 9.000% Senior Secured Notes due 2028.
The refinancing transactions improved Clear Channel’s debt maturity profile however didn’t essentially deal with leverage challenges that made public market volatility notably painful for operational planning. Non-public possession underneath Mubadala Capital and TWG World eliminates quarterly earnings pressures and supplies entry to long-term capital for know-how investments and digital infrastructure improvement.
Clear Channel’s regulatory filings present the corporate generated $1.14 billion in income throughout the 9 months ended September 30, 2025, in comparison with $1.08 billion throughout the identical interval in 2024. Working earnings elevated to $203.1 million from $179.1 million year-over-year, demonstrating operational momentum regardless of debt service obligations.
Worldwide divestitures preceded acquisition
Clear Channel accomplished important worldwide divestitures throughout the first quarter of 2025 that lowered operational complexity and supplied capital to scale back debt. On February 5, 2025, the corporate sold its businesses in Mexico, Peru and Chile to Global Media US LLC for $34 million in a simultaneous sign-and-close transaction.
Extra considerably, Bauer Media Group completed its $625 million acquisition of Clear Channel’s Europe-North segment on March 31, 2025, eradicating 110,000 promoting websites throughout 12 European international locations from Clear Channel’s portfolio. Wells characterised these divestitures as growing “optionality and lowering threat” within the firm’s enterprise mannequin.
The Europe-North sale supplied Clear Channel with roughly $243 million in web money proceeds after prepayment of excellent time period loans. The corporate used a portion of these proceeds to totally prepay the $375 million Clear Channel Worldwide B.V. Time period Mortgage Facility on March 31, 2025, eliminating related curiosity obligations and releasing collateral securing that facility.
On October 1, 2025, Clear Channel offered its enterprise in Brazil to Publibanca Brasil S.A. for about $15 million. The corporate entered right into a definitive settlement on September 7, 2025 to promote its enterprise in Spain to Atresmedia Corporación de Medios de Comunicación for about €115 million, with that transaction anticipated to shut by early 2026 pending regulatory approval.
These divestitures positioned Clear Channel as a predominantly U.S.-focused out-of-home promoting firm working two reportable segments: America, which serves markets throughout america excluding airports, and Airports, which gives promoting at airports in america and the Caribbean.
Programmatic digital development drives valuation
Clear Channel’s transformation towards digital out-of-home promoting infrastructure supported the transaction valuation regardless of leverage considerations. Digital income represented 42.1% of whole consolidated income throughout the three months ended September 30, 2025, in comparison with 39.4% throughout the identical interval in 2024.
The corporate operates digital billboard infrastructure that allows programmatic shopping for capabilities more and more demanded by advertisers in search of data-driven marketing campaign execution. Digital out-of-home promoting has expanded quickly, with WPP’s analysis indicating that DOOH will characterize 43.9% of whole out-of-home income by 2030, reaching $31.4 billion and successfully attaining parity with conventional outside codecs.
Clear Channel’s airport phase demonstrated notably robust efficiency, with income growing 16.1% to $95.6 million throughout the three months ended September 30, 2025, in comparison with $82.3 million throughout the identical interval in 2024. Digital income within the Airports phase reached 60.5% of whole phase income, up from 51.1% year-over-year.
The corporate’s America phase generated $309.9 million in income throughout the three months ended September 30, 2025, representing 5.9% development in comparison with the prior 12 months interval. Progress was pushed by a new contract with the Metropolitan Transportation Authority and improved efficiency within the San Francisco Bay Space market.
Nationwide gross sales accounted for 36.5% of America phase income throughout the three months ended September 30, 2025, with native gross sales producing the rest. The Airports phase derived 63.8% of income from nationwide gross sales throughout the identical interval, reflecting the phase’s enchantment to manufacturers in search of high-visibility placements concentrating on vacationers.
Business professional frames transaction context
David Krupp, World CEO of billups, characterised the transaction as confirming “the buoyancy of the out-of-home business, pushed by advances in know-how and measurement,” in keeping with commentary supplied by means of Salient MG, billups’ public relations agency.
“It offers Clear Channel the liberty to give attention to long-term execution with out the headwinds of public market volatility,” Krupp said. “Billups is pleased with our deep-rooted partnership with Clear Channel, and we’re wanting to proceed collaborating on this new period to drive model fairness, belief, and the complete worth of the out-of-home medium for our shoppers.”
billups operates as a world out-of-home managed companies company that helps advertisers, businesses and media house owners strengthen media efficiency by means of analytics and measurement platforms. The corporate was based by Benjamin Billups and maintains over 20 years of expertise with workers spanning 17 international locations.
Deal construction contains shareholder protections
The definitive settlement accepted unanimously by Clear Channel’s Board of Administrators features a 45-day “go-shop” interval allowing the corporate to actively solicit, consider and contemplate different acquisition proposals from third events. The go-shop interval expires at 11:59 PM Jap Time on March 26, 2026.
Clear Channel disclosed that “there could be no assurance that this course of will end in different acquisition proposals or a superior proposal,” and the corporate doesn’t intend to reveal developments relating to the solicitation course of until its Board of Administrators decides relating to any potential superior proposal.
Sure holders of roughly 48% of Clear Channel’s excellent widespread inventory as of September 30, 2025 entered into voting agreements to assist the transaction. This substantial shareholder assist will increase transaction certainty and reduces execution threat for the buying events.
The transaction requires approval by Clear Channel’s widespread shareholders by means of an affirmative vote of a majority of excellent shares. Moreover, the deal requires receipt of required regulatory approvals and satisfaction of customary closing circumstances earlier than completion.
Clear Channel intends to stay headquartered in San Antonio, Texas following deal closure. The corporate said it’ll launch 2025 fourth quarter outcomes as scheduled on February 26, 2026 by means of a press launch however won’t host a convention name or webcast given the pending acquisition.
Mubadala brings sovereign wealth scale
Mubadala Capital operates as a world different asset administration platform managing over $430 billion in property by means of asset managers and strategic partnerships. As a subsidiary of Mubadala Funding Firm, Mubadala Capital combines what it characterizes as “the size and stability of sovereign possession with the agility and focus of a performance-driven world different asset administration agency.”
Mubadala Funding Firm operates as a completely owned funding automobile of the federal government of Abu Dhabi. Sheikh Mansour bin Zayed Al Nahyan, vp and deputy prime minister of the United Arab Emirates, serves as chairman of Mubadala Funding Firm.
Mubadala Capital’s wholly owned companies make investments throughout a number of asset lessons and geographies together with non-public fairness, particular alternatives with a give attention to Brazil, and different different investments. The agency maintains strategic companies and partnerships in non-public wealth, credit score, insurance coverage and actual property.
The group employs over 200 professionals throughout 5 workplaces in Abu Dhabi, New York, London, San Francisco and Rio de Janeiro. Based on supplies revealed by Mubadala Capital, the agency “serves as a associate of option to institutional and personal buyers in search of differentiated risk-adjusted returns throughout numerous non-public markets and different asset lessons.”
TWG World operates and invests in companies throughout monetary companies, insurance coverage, synthetic intelligence and know-how, sports activities, media, leisure and vitality. Led by Mark Walter and Thomas Tull, TWG World maintains pursuits with an enterprise worth over $40 billion.
The TWG World portfolio contains Guggenheim Investments, Guggenheim Securities, Group 1001 Insurance coverage, and sports activities franchises together with the Los Angeles Dodgers, Los Angeles Lakers and Chelsea FC. Walter said that the transaction represents “the best expression of our partnership with Mubadala Capital and TWG’s funding thesis in movement.”
Transaction advisors and financing construction
Morgan Stanley and Moelis & Firm served as monetary advisors to Clear Channel, whereas Kirkland & Ellis acted as authorized advisor. Guggenheim Securities and J.P. Morgan Securities served as monetary advisors to Mubadala Capital, with Freshfields appearing as authorized advisor.
Fairness financing will likely be supplied by Mubadala Capital in partnership with TWG World. Apollo-managed funds dedicated to take a position most well-liked fairness within the transaction, offering mezzanine capital between senior debt and customary fairness.
Debt financing has been dedicated by a gaggle led by JPMorgan Chase Financial institution and Apollo Funds. The dedicated financing construction suggests the buying events secured debt financing previous to saying the transaction, lowering execution threat related to financing contingencies.
Newlight Companions is serving as a strategic associate to Mubadala Capital on the transaction. The involvement of a number of monetary and strategic advisors displays the transaction’s complexity and scale throughout the promoting business.
The transaction is anticipated to shut by the tip of the third quarter of 2026, topic to customary closing circumstances. Following deal closure, Clear Channel’s widespread inventory will not be listed for buying and selling on any public market, ending the corporate’s 19-year historical past as a publicly traded entity.
Clear Channel first turned a public firm in November 2007 following its $17.9 billion leveraged buyout by non-public fairness corporations Bain Capital and Thomas H. Lee Companions. The corporate subsequently accomplished an preliminary public providing in September 2005 that established the present company construction, although majority management remained with the non-public fairness sponsors till latest years.
Timeline
- October 16, 2025 – Clear Channel Outside shares shut at $1.42, the final buying and selling day earlier than media studies emerge about potential transaction
- February 5, 2025 – Clear Channel sells Mexico, Peru and Chile companies to World Media US LLC for $34 million
- March 31, 2025 – Bauer Media Group completes $625 million acquisition of Clear Channel’s Europe-North segment
- March 31, 2025 – Clear Channel totally prepays $375 million CCIBV Time period Mortgage Facility utilizing proceeds from Europe-North sale
- August 4, 2025 – Clear Channel points $2.05 billion of senior secured notes to refinance present debt and prolong maturity dates
- September 7, 2025 – Clear Channel enters definitive settlement to promote Spain enterprise to Atresmedia for about €115 million
- October 1, 2025 – Clear Channel sells Brazil enterprise to Publibanca Brasil for about $15 million
- October 24, 2025 – Keen Decision Systems research shows out-of-home advertising achieves $7.58 marginal ROI, outperforming digital channels
- February 9, 2026 – Clear Channel declares $6.2 billion acquisition settlement with Mubadala Capital and TWG World at $2.43 per share
- March 26, 2026 – Go-shop interval expires for Clear Channel to solicit different acquisition proposals
- Finish of Q3 2026 – Anticipated transaction shut date pending shareholder and regulatory approvals
Abstract
Who: Mubadala Capital, in partnership with TWG World, agreed to accumulate Clear Channel Outside Holdings. Wade Davis will be a part of as Government Chairman. The deal entails Apollo-managed funds offering most well-liked fairness and JPMorgan Chase Financial institution and Apollo Funds committing debt financing. Clear Channel CEO Scott Wells will proceed main operations by means of closing.
What: An all-cash acquisition valued at $6.2 billion enterprise worth, with shareholders receiving $2.43 per share representing a 71% premium to the October 16, 2025 unaffected closing value. Mubadala Capital and TWG World dedicated roughly $3 billion of fairness capital to the transaction, which is able to take Clear Channel non-public and delist its widespread inventory from public markets.
When: The definitive settlement was introduced on February 9, 2026. The transaction is anticipated to shut by the tip of the third quarter of 2026, topic to shareholder approval, regulatory approvals and customary closing circumstances. A forty five-day go-shop interval runs by means of March 26, 2026, allowing Clear Channel to solicit different proposals.
The place: Clear Channel operates primarily in america by means of two reportable segments: America, which serves markets throughout the nation excluding airports, and Airports, which gives promoting at U.S. and Caribbean airports. The corporate will stay headquartered in San Antonio, Texas following deal closure. Clear Channel divested its worldwide operations all through 2025, together with Europe-North, Latin America and pending Spain sale.
Why: The transaction addresses Clear Channel’s monetary complexity from substantial debt obligations whereas offering long-term capital for digital transformation with out public market volatility pressures. Mubadala Capital and TWG World characterised the deal as a possibility to spend money on knowledge, measurement and transaction platforms that unlock out-of-home promoting’s potential throughout a interval when analysis demonstrates superior marginal ROI in comparison with saturated digital channels. The buying events emphasised Clear Channel’s class management, nationwide billboard community, airport stock and important transformation potential as drivers for the $6.2 billion valuation.
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