Lamar Advertising CEO, Sean Reilly, clarified that Lamar is not interested in being a solution for Clear Channel Outdoor’s asset sale. However, Reilly acknowledged the allure of Clear Channel’s noncore assets, referred to as “all other markets,” which generated $253 million in revenue in 2022. These assets fit nicely into Lamar’s current footprint and focus on smaller markets.
While Lamar would pass on the opportunity to buy CCO’s larger US markets, JCDecaux, the global leader in outdoor advertising, announced its acquisition of Clear Channel’s businesses in Italy and Spain. Clear Channel Italy was acquired for €15.1 million ($16.2 million), while Clear Channel Spain was purchased for €60.0 million ($64.4 million). These strategic acquisitions will expand JCDecaux’s presence in these digital outdoor advertising markets, enabling them to better serve customers and landlords in Italy and Spain. Jean-Charles Decaux, CEO of JCDecaux, expressed satisfaction with the acquisitions, highlighting their alignment with the company’s growth strategy.
Although the sale of the European assets will not significantly impact Clear Channel Outdoor’s high debt-to-cash flow ratio, it will help them to divest of underperforming assets, freeing up capital and management’s attention. The market responded positively to the acquisitions, with Clear Channel’s stock experiencing a 5.5% increase in after-hours trading. One of CCO’s larger shareholders, Legion, has not commented.