clear-channel-logo.gif Clear Channel stock saw a 5% increase in stock price today as news about a potential resolution on the buyout was released. Although trading at around $30, CCU still trades well below the buyout price of $39.20. The Clear Channel buyout has been approved for quite some time, but the lending market landscape changed enough that the banks involved began to balk at the deal.

The private equity buyers, as well as Clear Channel filed suits in order to force the lenders to abide by the terms of the original deal. Binding arbitration will allow both sides to present their case and for a decision to be rendered. The street sees the move as positive as it can be more speedy than litigating the matter through the courts.

via Reuters

Position – No Position Clear Channel