iHEART Media’s bankruptcy is now reportedly imminent

As recently revealed by Bloomberg, US media conglomerate iHEART Media could file for bankruptcy as soon as this weekend.

This comes after the music media force failed to deliver on two interest payments due on March 1st that were worth approximately $59.1 million.

The Bloomberg report also states that despite a year of negotiations on a restructuring plan, a formal decision has yet to be made surrounding a formal support agreement.

“Advisers to some of iHEART’s senior creditors have been shown bankruptcy papers that would be used on the first day of court proceedings, according to people with knowledge of the matter” reads the report.

“Despite a year of negotiations on a restructuring plan, a formal support agreement still isn’t in place with the most-senior lenders, and the creditors aren’t in restricted talks with the company, said the people, who asked not to be identified discussing private negotiations.”

A Form-8K filing released today, “As previously disclosed, iHEARTCOMMUNICATIONS, INC., an indirect subsidiary of iHEARTMEDIA, INC., has engaged in discussions with its stakeholders with respect to the restructuring of its capital structure.”

It was also discovered that Liberty Media bought $400 million in iHEART’s debt.

Updates to come. 

This article originally appeared on The Industry Observer, which is now part of The Music Network.