Akin and Sidley snare £14bn Clear Channel deal

Akin Gump and Sidley Austin secured the key roles among another five firms that have scored instructions on the $26.7bn (£14.03bn) buyout of Clear Channel, America’s largest radio station owner.

Akin Gump Strauss Hauer & Feld, Sidley Austin, Ropes & Gray, Dow Lohnes, and Wall Street stalwarts Cahill Gordon & Reindel, Sullivan & Cromwell and Wachtell Lipton Rosen & Katz all secured key roles in the deal.

A private equity group led by Thomas H.Lee Partners and Bain Capital bought Clear Channel for $18.7bn (£9.83bn) cash and $8bn (£4.2bn) debt repayment.

Akin Gump advised Clear Channel, while Sidley Austin acted for the special advisory committee.

Boston-based Ropes & Gray and 150-lawyer Dow Lohnes advised Thomas H.Lee and Bain Capital, a marquee client of Ropes. Private equity star David Chapin led Ropes’ team, along with M&A partners Alfred Rose, Patrick Diaz and Shari Wolkon.

A consortium of banks provided the finance to the private equity group, including Morgan Stanley, Deutsche Bank, Credit Suisse, RBS and Wachovia. Cahill and Wachtell both advised the banks. Finance partner Jonathan Schaffzin and securities partner John Tripodoro headed Cahill’s team, with corporate partner David Silk leading for Wachtell.

Goldman Sachs, advised by Sullivan & Cromwell, was exclusive financial advisor to Clear Channel.

It is understood that Blackstone and KKR also mounted failed bids. Historically, KKR uses Simpson Thacher & Bartlett.

Under the terms of the deal, Clear Channel’s stockholders will receive $37.60 (£19.76) in cash per share. This represents a 10 per cent premium on the closing price of Clear Channel on 15 November, at $34.12 (£17.93).