Just before Memorial Day, Cumulus became the third radio group in a month to swallow a so-called “poison pill” to protect them against a hostile takeover.
Entercom and iHeart preceded them as underperforming radio groups are suddenly in vogue with speculators.
What’s going on here – why the sudden interest?
Out of the three, one would be like taking candy from a baby.
And it already may be too late for a second radio group fighting a takeover.
People familiar with such financial maneuvers tell us that all it would take in one case is a relatively small amount of cash and a very manageable loan -- better than they now have in place.
Worse yet, there are disruptive ramifications for employees if the company they are working for is stolen through a hostile takeover especially for those who have survived many rounds of layoffs and furloughs.
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