Clear Channel has not yet disclosed the nitty gritty of its revised merger agreement, which should allow it be be taken private by Bain Capital and THL Capital. But I just spoke with someone close to the transaction, and have gleaned the following nuggets:
* The stub equity piece is only semi-voluntary. If CCU shareholders don’t elect to take all $1.1 billion, they’ll be forced to receive it on a pro rata basis. CCU does not expect that to happen, however, particularly because $500 million of it is already spoken for. This includes a $400 million commitment from Highfields Capital Management.
* The revised deal cuts off around $1.75 billion in debt.
* The deal’s equity piece — including the stub — should drop from around $4 billion to just over $3 billion.
* Deal is completely-papered.
* Don’t necessarily expect the banks to give similar terms on BCE, because that deal can’t include the threat of Texas justice.