IHeartMedia Lenders Claim New Deal Adds Months to Bankruptcy End

Dec. 10, 2018, 7:48 PM

IHeartMedia’s decision to cut a deal with Mario Gabelli’s Gamco Asset Management Inc. may push the end of the radio company’s bankruptcy past February, senior lenders said in a court filing Dec. 10.

IHeart had been scheduled to seek final approval of its reorganization plan this week, but put off that court hearing to finalize a deal to settle a shareholder suit with Gamco, according to court papers.

The settlement would end the lawsuit Gamco filed against officers of iHeart’s Clear Channel Outdoor Holdings.

“Such delay compounds the ongoing harm to the debtors’ businesses from the overhang of these cases ...

To read the full article log in.

Learn more about a Bloomberg Law subscription.