Mubadala Capital, the asset management arm of Abu Dhabi sovereign wealth fund Mubadala Investment Co., is exploring an acquisition of Clear Channel Outdoor Holdings Inc. The potential deal could value the billboard operator at $773 million. Clear Channel Outdoor has about $6.4 billion in debt and has been under pressure from activist investor Anson Funds Management to sell itself. Mubadala Capital may decide not to pursue the transaction.
Mubadala Capital, the asset management arm of Abu Dhabi sovereign wealth fund Mubadala Investment Co., is exploring an acquisition of Clear Channel Outdoor Holdings Inc. According to people familiar with the matter, Mubadala Capital has been working on a potential deal for the billboard operator. Clear Channel Outdoor shares rose 9.5% on Friday, giving the company a market value of $773 million, according to
.
The company has about $6.4 billion in debt, according to data compiled by Bloomberg. Deliberations are ongoing, and Mubadala Capital may decide not to pursue a transaction. Representatives for Mubadala Capital and Clear Channel declined to comment.
The news comes as Clear Channel Outdoor is under pressure from activist investor Anson Funds Management to sell itself. This potential acquisition is the latest sign of Mubadala Capital's global ambitions. The firm has a sprawling global portfolio but isn't a major player in US media investments.
Earlier this year, Mubadala Capital sold a minority stake in itself to TWG Global, an investment firm led by Guggenheim Partners founder Mark Walter and financier Thomas Tull. That came after the asset manager snapped up Canadian mutual fund manager CI Financial Corp. in one of the largest privatizations by an Abu Dhabi entity.
Dealmaking in outdoor has been heating up lately. An investor group led by I Squared Capital has been planning a bid for German media group Ströer SE & Co.’s core advertising business, which could value the operations at €3.5 billion ($4.1 billion), Bloomberg reported.
Comments
No comments yet