Brief: Emmis receives takeover proposal from E Acquisition Corp

Emmis

18/08/2016 21:05

Aug 18 (Reuters) - Emmis Communications Corp  EMMS.O  
    * Emmis Communications receives proposal to acquire the 
corporation's outstanding public shares 
    * $4.10 cash per share offered for Emmis Communications 
Corporation's public shares 
    * Proposal does not include a financing condition 
    * In response to proposal, board announced that it has 
formed a special committee of disinterested directors to 
consider proposal 
    * Smulyan and other directors of Emmis who will join 
purchaser will not participate in evaluation of proposal 
    * E Acquisition Corp, owned by Jeffrey Smulyan, CEO and 
controlling shareholder of Emmis has made a non-binding proposal 
for Emmis 
    * Emmis expects this process to have no impact on day-to-day 
operations. 
    * Proposal states E Acquisition Corp has obtained committed 
acquisition facility from affiliate of Falcon Investment 
Advisors, Llc 
    * Under terms of Emmis' articles of incorporation, potential 
transaction will be a "going private" transaction 
    * Proposal states that purchaser to invite other investors, 
which will include certain other officers and directors of Emmis 
    * Proposal also states that transaction will be subject to 
approval by Emmis' shareholders 
    * Offer indicates that if deal is consummated, buyer intends 
to reduce Emmis' debt by selling certain non-core assets of 
business 
    * Board has authorized Emmis to explore strategic 
alternatives for publishing division and radio stations in Terre 
Haute, Indiana 
 
Source text for Eikon:  ID:nPn5ydk5na  
Further company coverage:  EMMS.O  
 
 ((bangalore.newsroom@thomsonreuters.com;))