According to reports from AfroTech last week, Byron Allen was close to gaining Tegna for $8 billion. Notwithstanding, as per a new report, the CEO of Allen Media Group has successfully raised $10 billion to develop Tegna and manage its debt.
According to Reuters, Byron Allen’s plan has 14 banks and ten investors backing it, including Ares Management Corp, Fortress Investment Group, Oaktree Capital Management, and Michael Milken’s family office.
Adding reports from another source stated, “Ares is leading a $2.2 billion preferred stock investment in support of Allen’s financing package.” Contributing sources told the outlet that Tegna could choose a winning bidder as soon as this month.
According to the source, Byron Allen competes against investment firms Apollo Global Management Inc. and Standard General LP, but he is still the favorite to win.
Raising funds necessary for acquiring Tegna, Standard General was initially poised to be the clear winner of the bid, as previously reported by New York’s post. Concerning Allen’s pay deal, he accepted even though the Weather Channel had taken a considerable financing blow.
“Undertaking audits this summer by specific lenders revealed Allen had extracted a generous remuneration package from his company, which had recent annual revenue of over $600 million, even while business was falling,” sources said.
According to the New York Post, Allen received a total remuneration package of $50 million in 2020.
The refinancing of the debt will include $10 billion. According to the post, Byron Allen continues to accrue an unheard-of fortune; he also has an obligation.
According to The Weather Channel, it acquired a “large financial burden” as a result of the epidemic. Advertising on television dried up and decimated their Ad expenditures.
This article was penned by Jonathan P. Wright. Jonathan is a freelance writer for multiple mainstream publications and CVO of RADIOPUSHERS. You can read more of his work by clicking here.