George Soros is poised to take a huge stake in the nation’s second-largest radio company, which owns more than 220 stations across the country, according to court filings and people close to the situation.
According to bankruptcy filings, leftist billionaire Soros Fund Management bought out $400 million in Audacity’s debt. Audacy is the second largest radio station in the United States, behind iHeartMedia, which includes stations such as New York’s WFAN and 1010 WINS and Los Angeles-based KROQ. .
A person familiar with the situation, noting that Mr. Soros is a Republican, said Mr. Soros may be buying the stock to influence public opinion in the months leading up to the 2024 presidential election. He said he thinks there is.
“This is scary,” the official said.
Mr. Soros’ stake represents about 40% of the company’s senior debt, which is not a majority but a significant amount, people familiar with the matter told the Post, adding that the media giant’s stake is still significant when it emerges from bankruptcy. There is a possibility that effective control will be obtained.
Soros has racked up about 50 cents on the dollar in debt from hedge fund HG Bora in the past few weeks, according to people close to the situation.
A Soros Foundation spokesperson did not respond to a request for comment. A spokesperson for HG Vola declined to comment.
A hearing to approve Audacy’s reorganization plan is scheduled for February 20 in Houston bankruptcy court before federal Judge Christopher Lopez.
Audacy filed for bankruptcy on January 7 with $1.9 billion in debt.
Audacy’s current Chapter 11 bankruptcy plan is expected to wipe out existing shareholders.
High-ranking creditors such as Mr. Soros will be repaid with shares in the reorganized company.
The proposal would require bankruptcy court approval.
This is Soros’ latest media play.
Last summer, a Soros-linked fund joined a consortium of former lenders that paid $350 million for bankrupt Vice Media, which at its peak was once valued at $6 billion.
A Manhattan federal bankruptcy court judge has ruled that Soros Fund Management and Fortress Investment Group are the best options to help the Brooklyn-based company emerge from Chapter 11 bankruptcy.
The fire sale marks the surprising end of Vice, which was co-founded by big-time media executive Shane Smith.
Smith, who ran the company from its founding in 1994 until 2018 as CEO, resigned amid a series of reports about allegations that the company had a frat house culture.
