JCDecaux announced yesterday an agreement with Clear Channel to buy its activities in Spain for a total of 60 million euros before taking into account cash and net debt positions.
The company expects the transaction with the subsidiary in Spain to take place in 2024, once the necessary authorizations have been obtained. Apart from this purchase in Spain, the company is also preparing the acquisition of Clear Channel’s activities in Italy.
JCDecaux explained that these purchases will improve its presence in Italy and Spain and will allow it to respond “increasingly” to the expectations of its customers and public administrations in a context of digitization.
The co-CEO of JCDecaux, Jean-Charles Decaux, commented that these two purchases are part of the firm’s selective external growth strategy and that the expansion improves its presence in “historical territories for the group”.
JCDecaux closed the 2022 financial year with a turnover of 3,317 million euros and a daily audience of 850 million people in more than 80 different countries, according to figures provided by the firm. The company is currently listed on the Euronext Paris Eurolist and is part of the Euronext 100 and Euronext Family Business indices.
“The sale of our businesses in Italy and Spain is another important step towards the goal of optimizing our portfolio for the benefit of our shareholders,†said Scott Wells, CEO of Clear Channel. “Combined with the earlier sale of our business in Switzerland, we will have generated approximately $175 million in total gross proceeds while exiting three lower margin or lower priority European markets,†he added.
The executive stressed that the company’s Board continues its review of strategic alternatives for its other European businesses. They also remain focused on executing other “strategic priorities in our Americas and airport segments.”
Clear Channel is specialized in outdoor advertising such as billboards and digital displays. In addition, they work with the integration of data analysis and programmatic capabilities that offer measurable campaigns. In total, they have a volume of 500,000 print and digital screens in 22 countries around the world.
