Cumulus Offers Third Extension On Debt Exchange Window


Cumulus Media has announced an additional extension to the company’s debt exchange plan in a capital restructuring. The “Further Extended Expiration Time” takes the previous April 2 deadline and pushes it through April 9. The original deadline was March 26.

The first extension on the deal came at the end of the initial March 11 early tender deadline. That was extended to March 18, as reported by RBR+TVBR.

The initiative invites holders of Cumulus’s 6.750% Senior Secured First-Lien Notes due 2026 to exchange them for 8.750% Senior Secured First-Lien Notes due 2029. Debuted alongside its Q4 2023 earnings, the capital restructuring would prolong the maturity of its existing debt by three years while raising interest by two percent.

Under the terms of the extension, note holders who opt to exchange their holdings by the new April deadline will receive $770 in new notes for every $1,000 of the old notes, with the early tender premium now excluded.

The extension is seen as a strategic move by Cumulus, especially after $15 million of the old notes had already been tendered and not withdrawn at the April 2 deadline. This could indicate hesitancy among some debtholders regarding the swap’s terms.

Participants in the exchange must submit an eligibility letter through D.F. King & Co., demonstrating compliance with specific investment criteria. The new notes, which are not registered under the Securities Act, must meet certain eligibility requirements to meet regulatory standards.


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