With The E.W. Scripps Co. under a hostile takeover attempt by Sinclair and Nexstar Media Group awaiting a regulatory nod for its industry-changing proposed merger with TEGNA, Gray Media is moving forward with an initiative that adjusts that media company’s indebtedness, with repayment due in seven years.
In an announcement made prior to Monday’s Opening Bell on Wall Street, Gray confirmed that it has entered into purchase agreements with investors that will see them buy, in a private offering, some $250 million aggregate principal amount of 9.625% senior secured second lien notes due 2032.
The additional notes are linked directly to the currently outstanding $900 million aggregate principal amount of this note series, issued in July 2025.
“The additional notes will have substantially identical terms to the existing notes,” Gray said, as it effectively increased its borrowings under this facility to $1.15 billion.
The company adds that additional notes will be issued at 102% of par plus accrued interest from and including July 18, 2025.
This new offering is expected to close on Friday (12/12), and while it grows the total balance on the 9.62% notes, it allows Gray to redeem a portion of its outstanding 10.5% senior secured first lien notes due 2029. This is in addition to having the funds necessary to pay fees and expenses in connection with the offering and for general corporate purposes.
As 2025 nears its conclusion in roughly three weeks, Gray Media shares have enjoyed a healthy year on the NYSE, with some 45.7% growth. However, a $6.21 finish on September 8 marked a peak for “GTN,” which opens Monday’s trading at $4.59 per share.
For dividend-seeking investors, “GTN” goes ex-dividend on December 15. The $0.08 quarterly cash dividend is payable to shareholders on December 31.
