IHeartMedia won a reprieve in a Texas court on Wednesday, giving it more time to convince dissident creditors and a judge that it was allowed to shift shares worth at least $500 million to a subsidiary beyond the reach of lenders. The largest operator in the US now has until May 16 to press its case. Without the extension, the creditors that could have made $12 of debt payments due in 60 days — putting iHeart’s future in doubt.
Creditors, including Providence Equity Partners’ Benefit Street Partners and Paul Singer’s Elliot Management, agreed to the added time. “We are pleased with the outcome and look forward to an expedited trial” on May 16, iHeart said in a statement. Lawyers for the creditors didn’t return calls for comment.