Joe Schwartz's Cherry Creek Radio has restructerd its debt with Sankaty Advisors the new investor coming in. Sankaty is the independently managed credit affiliate of Bain Capital and has more than $23 billion worth of assets. Sankaty has purchased all of the company?s existing senior indebtedness and agreed to recapitalize Cherry Creek with a new term loan and preferred equity investment. Schwartz will maintain the majority ownership stake and two executives from Sankaty will join the Cherry Creek board.
Cherry Creek has 60 stations across 15 small markets, mostly in the western part of the U.S. The new financial setup gives Cherry Creek more flexibility to make some aggressive moves, whether that's purchasing stations or strengthening its current markets, time will tell. Schwartz said, ?We are very excited to partner with Sankaty given their knowledge of the industry and significant financial capabilities. The new capital structure affords us the flexibility to achieve our strategic objectives and represents a significant step forward for Cherry Creek.?