Atlanta-headquartered Gray Media on Friday completed its previously announced offering of $750 million aggregate principal amount of 7.5% senior secured first lien notes due 2034.
The notes were issued at par.
The net proceeds from the notes are being used to redeem $675 million outstanding principal amount of Gray’s 10.5% senior secured first lien notes due 2029 and to repay $21 million of outstanding borrowings under Gray’s revolving credit facility. Fees and expenses tied to the offering will also be paid from the proceeds, and this includes the call premium and accrued and unpaid interest on the 2029 Notes being redeemed.
Upon the consummation of the redemption of the 2029 Notes, which is expected to be on August 27, Gray expects to have remaining $350 million outstanding principal amount of 2029 Notes using the net proceeds as noted above.
The notes are guaranteed, jointly and severally, on a senior secured first lien basis, by each existing and future restricted subsidiary of Gray that guarantees Gray’s existing senior credit facility.
Interest on the notes accrued from August 21 and is payable semiannually, on March 15 and September 15 of each year, commencing March 15, 2027.
The notes mature on September 15, 2034.
