Clear Channel Outdoor Holdings (CCOH) and iHeartMedia have reached an agreement to fully separate CCOH as an independent, standalone company.
The separation is subject to iHeartMedia's emergence from its ongoing restructuring plan. The media company filed for Chapter 11 bankruptcy protection in March in an effort to restructure a debt of over $20bn.
According to a spokesperson from iHeartMedia, the company is expected to emerge from its restructuring in early 2019.
Currently, iHeartMedia owns 89.1% of CCOH's outstanding common stock.
Upon iHeartMedia's emergence, William Eccleshare will become chief executive officer of CCOH. He currently serves as chairman and CEO of Clear Channel International (CCI). In his new role, he will be based in London and continue to lead CCI.
Scott Wells will continue in his role as CEO of Clear Channel Outdoor America and will report directly to Eccleshare.
Until CCOH exits following the restructuring process, Bob Pittman will continue as CEO and Rich Bressler will continue as president and chief financial officer.
In a statement released today (21 December), Pittman said the separation will allow each company to better achieve their individual missions. CCOH is one of the world's largest outdoor advertising companies, and iHeartMedia is a leading global media company focusing in radio.
"Although both businesses are powerful advertising platforms, they each have valuable but different touch points within the advertising community and pursuing separate, highly-targeted strategies will unlock their full potential as freestanding companies," said Pittman.
CCOH's current board of directors will remain in place until iHeartMedia exits its restructuring process.