After filing for Chapter 11 bankruptcy protection last month, radio giant Audacy has received approval from the United States Bankruptcy Court for the Southern District of Texas to emerge from the process, pending approval from the Federal Communications Commission.

The plans calls for Audacy to equitize roughly $1.6b of funded debt, allowing for a reduction of 80%. Trade and other unsecured creditors will not be impaired. Per Bloomberg, creditors such as the investment firm founded by billionaire George Soros will be repaid with stock in the restructured Audacy.

Soros Fund Management will also become Audacy's primary shareholder after acquiring more than $414m, or about 40%, of the company's total senior debt.

Audacy previously secured $57m in debtor-in-possession financing to support ongoing operations during the Chapter 11 process, including a new term loan and an increase in the accounts-receivables financing facility. In May 2023, the NYSE announced plans to delist Audacy's Class A common stock due to an "abnormally low selling price," a process which was completed in November.

"Today's announcement marks a powerful step forward for Audacy, positioning the company for an exciting future,” Audacy President and CEO David Field said. "As expected, we have achieved a speedy confirmation of our pre-packaged plan, which will enable Audacy to pursue our strategic goals and opportunities in the dynamic audio business. We aim to drive accelerated growth and financial performance, capitalizing on our scaled, leadership position, our uniquely differentiated premium audio content and the robust capital structure that we will have upon emergence. I also want to express my gratitude to our team, who continue their outstanding work to serve our listeners and customers with excellence and fulfill our commitments without missing a beat."