Westwood One

Gores Group takes control of Westwood One

Westwood One, a provider of radio programming and traffic reporting, has announced a recapitalization agreement. The company will refinance all of its outstanding long term debt, about $241 million, for $25 million cash, a 25% equity stake and $117.5 million of new senior secured notes. As part of the deal, The Gores Group, Westwood's largest shareholder, acquired $25 million of preferred stock and guaranteed $35 million of new loans. Upon completion of the recapitalization, The Gores Group will own approximately 72.5% of the company.