5 hours ago - Business
Sirius XM and iHeartMedia reportedly in merger talks
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Sirius XM reportedly is in talks to acquire iHeartMedia.
Why it matters: If consumated, the deal would merge America's largest satellite radio provider and largest terrestrial radio station owner.
Catch up quick: iHeart once was known as Clear Channel, an audio giant acquired by a group of private equity firms in 2006 for $18.7 billion.
- The deal — which closed only after Bain Capital and THL sued their own lenders — ended up being a disaster.
- iHeart filed for bankruptcy protection in 2018, spun off its outdoor advertising business, and returned to the public markets in 2019.
Behind the scenes: Apollo and Irving Azoff are "involed to try and help facilitate a deal," per The Hollywood Reporter.
- Bloomberg first reported on the preliminary talks.
The bottom line: Both iHeart and Sirius have invested heavily in podcasts to stem the flow of advertising customers and listeners to streaming services, but it's largely been a losing battle.
- iHeart shares jumped 35% on the Bloomberg report, although remain more than 80% below their 2021 high.
- Sirius XM shares are down more than 50% since 2023.
