Clear Channel Outdoor Holdings (NYSE:CCO) (0.1%) (CCO – $5.95 – NYSE) located in San Antonio, Texas, is an outdoor advertising company with billboards, street furniture, transit, and digital displays in global markets. Outdoor advertising represents 4%-6% of total advertising, reaches consumers outside of the home where the propensity to spend is greater, and it cannot be skipped or blocked. iHeart Communication controls CCO with ~87% of the economic and 99% of the vote. iHeart is currently negotiating a bankruptcy exit with its creditors, which include CCO. CCO has businesses in both the U.S. and international markets that could be attractive to a global outdoor operator. We expect that the exit of iHeart from bankruptcy and distribution of iHeart’s stake in CCO to creditors could be a catalyst for shares.
From Mario Gabelli (Trades, Portfolio)'s third-quarter 2018 Gabelli Asset Funds shareholder letter.
