Clear Channel Outdoor to sell Switzerland business to Goldbach Group for $92.7M

Clear Channel Outdoor announced it has entered into a definitive agreement to sell its business in Switzerland to Goldbach Group, an affiliate of TX Group AG, for $92.7M. The company’s Swiss business is expected to contribute approximately $9.7M, which excludes $1.4M in one-time items including rent abatements, to Europe Segment Adjusted EBITDA for the full year ended December 31. The all-cash consideration represents a transaction multiple of approximately 9.5x Segment adjusted EBITDA contribution. The company expects to hedge the anticipated proceeds to mitigate the risks related to foreign currency fluctuations, and the estimated taxes in connection with the transaction are expected to be less than $5M. The company intends to use the anticipated net proceeds from the sale to improve its liquidity position and increase financial flexibility, subject to any limitations set forth in its debt agreements. The transaction is subject to regulatory approval, receipt of a customary tax ruling with respect to a transaction-related reorganization and other customary closing conditions and is expected to close in the second or third quarter of 2023, depending on when the conditions to closing are satisfied. There can be no assurance that the strategic review of our European businesses will result in any additional transactions or particular outcomes. We have not set a timetable for completion of these processes and may suspend these processes at any time.