GAMCO ASSET MANAGEMENT INC. v. IHEARTMEDIA INC.

C.A. No. 12312-VCS.

GAMCO ASSET MANAGEMENT INC., Plaintiff, v. iHEARTMEDIA INC., iHEARTCOMMUNICATIONS, INC., BAIN CAPITAL PARTNERS, LLC, THOMAS H. LEE PARTNERS, L.P., ROBERT W. PITTMAN, VINCENTE PIEDRAHITA, BLAIR HENDRIX, DANIEL G. JONES, OLIVIA SABINE, CHRISTOPHER TEMPLE, DALE W. TREMBLAY and DOUGLAS L. JACOBS, Defendants, -and- CLEAR CHANNEL OUTDOOR HOLDINGS, INC. Nominal Defendant.

Court of Chancery of Delaware.

Decided: November 23, 2016.


Attorney(s) appearing for the Case

Norman M. Monhait Esquire , of Rosenthal Monhait & Goddess, P.A. of Wilmington, Delaware; Vincent R. Cappucci, Esquire , Andrew J. Entwistle, Esquire , and Joshua K. Porter Esquire , of Entwistle & Cappucci LLP, New York, New York; Mark Lebovitch, Esquire , Christopher J. Orrico, Esquire , and John Vielandi Esquire , of Bernstein Litowitz Berger & Grossmann LLP, New York, New York; and Ned Weinberger Esquire , of Labaton Sucharow LLP, Wilmington, Delaware, Attorneys for Plaintiff.

William B. Chandler III, Esquire , Bradley D. Sorrels, Esquire , Shannon E. German, Esquire , and Lori W. Will Esquire , of Wilson Sonsini Goodrich & Rosati, P.C., Wilmington, Delaware; David E. Ross Esquire , and Bradley R. Aronstam Esquire , of Ross Aronstam & Moritz, LLP, Wilmington, Delaware; and Kevin B. Huff, Esquire , David L. Schwarz, Esquire , and Daniel V. Dorris Esquire , of Kellogg Huber Hansen Todd Evans & Figel, PLLC, Washington, D.C., Attorneys for Defendants iHeartMedia, Inc., iHeartCommunications, Inc., Bain Capital Partners, LLC, and Thomas H. Lee Partners, L.P.


MEMORANDUM OPINION

Plaintiff, GAMCO Asset Management Inc., invested in nominal defendant, Clear Channel Outdoor Holdings, Inc. ("CCOH"), when it knew that CCOH was locked in a contractually-created symbiotic relationship with its former parent, iHeartCommunications, Inc. ("iHC"). Through a suite of intercompany...

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