FAIR VALUE MEASUREMENTS (Tables)

6 Months Ended

Jun. 30, 2025

The following tables summarize the Company’s assets and liabilities measured at fair value on a recurring basis. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement:


		Successor
		June 30, 2025
(in thousands)	Balance Sheet Location	Level 1		Level 2		Level 3
Assets:
Cash and cash equivalents	Cash and cash equivalents	$	174,567	$	—	$	—
Restricted cash	Restricted cash	66,336		—		—
Fair value option equity method investments	Other assets	275,381		—		—
Investment in GLPI partnership	Other assets	—		19,790		—
The Star Investment - fair value option:
Subordinated Notes	Other assets	—		—		84,978
Convertible Notes	Other assets	—		—		17,153
Forward Obligation(1)	Prepaid expenses and other current assets	—		—		6,901
Derivative assets not designated as hedging instruments:
Cross currency swaps	Prepaid expenses and other current assets	—		4,577		—

Derivative assets designated as hedging instruments:
Interest rate contracts	Prepaid expenses and other current assets	—		83		—



Total derivative assets at fair value		—		4,660		6,901
Total assets		$	516,284	$	24,450	$	109,032
Liabilities:
Contingent consideration	Accrued and other current liabilities	$	—	$	—	$	54,336
Contingent consideration	Other long-term liabilities	—		—		8,048
Derivative liabilities not designated as hedging instruments:


Cross Currency Swaps	Other long-term liabilities	—		20,736		—
Derivative liabilities designated as hedging instruments:
Interest rate contracts	Accrued and other current liabilities	—		3,931		—
Interest rate contracts	Other long-term liabilities	—		37,753		—
Cross currency swaps	Accrued and other current liabilities	—		4,366		—
Cross currency swaps	Other long-term liabilities	—		51,868		—
Total derivative liabilities at fair value		—		118,654		—
Total liabilities		$	—	$	118,654	$	62,384

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(1) The Forward Obligation is considered a derivative instrument not designated as hedging.


		Predecessor
		December 31, 2024
(in thousands)	Balance Sheet Location	Level 1		Level 2		Level 3
Assets:
Cash and cash equivalents	Cash and cash equivalents	$	171,233	$	—	$	—
Restricted cash	Restricted cash	60,021		—		—


Investment in GLPI partnership	Other assets	—		20,418		—
Derivative assets not designated as hedging instruments
Cross currency swaps	Prepaid expenses and other current assets	—		4,871		—
Cross currency swaps	Other assets	—		615		—
Derivative assets designated as hedging instruments:
Interest rate contracts	Prepaid expenses and other current assets	—		340		—
Interest rate contracts	Other assets	—		336		—
Cross currency swaps	Prepaid expenses and other current assets	—		148		—
Cross currency swaps	Other assets	—		13,181		—
Total derivative assets at fair value		—		19,491		—
Total assets		$	231,254	$	39,909	$	—
Liabilities:
Contingent consideration	Other long-term liabilities	$	—	$	—	$	59,923
Derivatives not designated as hedging instruments
Sinclair Performance Warrants	Other long-term liabilities	—		—		58,668
Cross currency swaps	Other long-term liabilities	—		11,174		—
Derivative liabilities designated as hedging instruments:
Interest rate contracts	Accrued and other current liabilities	—		1,855		—
Interest rate contracts	Other long-term liabilities	—		13,372		—
Cross currency swaps	Accrued and other current liabilities	—		1,189		—
Cross currency swaps	Other long-term liabilities	—		1,624		—
Total derivative liabilities at fair value		—		29,214		58,668
Total liabilities		$	—	$	29,214	$	118,591

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following tables summarize the changes in fair value of the Company’s Level 3 assets and liabilities:


	Sinclair Performance Warrants		Contingent Consideration		Fair value option loans receivable
(in thousands)					Subordinated Notes		Convertible Notes		Forward Obligation
Beginning as of December 31, 2024 (Predecessor)	$	58,668	$	59,923	$	—	$	—	$	—


Change in fair value	1,180		786		—		—		—
Ending as of February 7, 2025 (Predecessor)	$	59,848	$	60,709	$	—	$	—	$	—



Beginning as of February 8, 2025 (Successor)	$	—	$	60,709	$	—	$	—	$	—


Change in fair value	—		—		—		—		—
Ending as of March 31, 2025 (Successor)	—		60,709		—		—		—
Additions in the period (acquisition fair value)	—		—		70,291		13,429		—

Change in fair value	—		1,675		11,655		2,485		6,728
Effect of foreign exchange	—		—		3,032		1,239		173
Ending as of June 30, 2025 (Successor)	$	—	$	62,384	$	84,978	$	17,153	$	6,901


(in thousands)	Sinclair Performance Warrants		Contingent Consideration
Beginning as of December 31, 2023 (Predecessor)	$	44,703	$	58,580


Change in fair value	—		(1,835)
Ending as of March 31, 2024 (Predecessor)	$	44,703	$	56,745


Change in fair value	(6,317)		1,040
Ending as of June 30, 2024 (Predecessor)	$	38,386	$	57,785

Derivative Instruments, Gain (Loss)

The gains (losses) recognized in the condensed consolidated statements of operations for derivative instruments were as follows:


	Condensed Consolidated Statements of Operations Location	Successor				Predecessor
(in thousands)		Three Months Ended June 30, 2025		Period from February 8, 2025 to June 30, 2025		Period from January 1, 2025 to February 7, 2025		Three Months Ended June 30, 2024		Six Months Ended June 30, 2024
Derivatives not designated as hedging instruments
Sinclair Performance Warrants	Other non-operating income (expense), net	$	—	$	—	$	(1,180)	$	6,317	$	6,317
Cross Currency Swaps	Other non-operating income (expense), net	6,602		6,823		50		—		—
Derivatives designated as hedging instruments
Interest rate contracts	Interest expense, net	$	898	$	1,383	$	(105)	(2,809)		(5,695)
Cross currency swaps	Interest expense, net	1,036		1,405		7		(1,325)		(2,536)

Schedule of Carrying Values and Estimated Fair Values of Debt Instruments

In the table below, the carrying amounts of the Company’s long-term debt are net of debt issuance costs and debt discounts. Refer to Note 15 “Long-Term Debt” for further information.


	Successor				Predecessor
	June 30, 2025				December 31, 2024
(in thousands)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Term Loan Facility	$	1,782,446	$	1,671,855	$	1,858,800	$	1,792,804
11.00% Senior Secured Notes due 2028	480,544		500,390		—		—
5.625% Senior Notes due 2029	563,179		430,313		738,517		587,813
5.875% Senior Notes due 2031	505,000		403,331		721,456		535,631