ATLANTA: Gray Television priced its previously announced private offering of $365 million in 10.5 percent senior secured second-lien notes due 2015. The notes are priced at 98.085 percent of par, and will be secured on a second priority basis subject to certain exceptions.
Gray intends to use the net proceeds from the offering repay a portion of its debt and to buy back some of its Series D preferred stock as well as pay related fees and expenses. The sale, to qualified institutional buyers only, is expected to be completed by April 29.
The offering follows an agreement last month between Gray and its senior lenders that allowed the broadcaster to avoid default. The terms included the issuance of new securities to pay down old ones.
April 20, 2010: “Gray Plans $365 Private Placement”
The private placement will be exempt from Securities and Exchange registration requirements, and be offered to only qualified institutional buyers.
April 6, 2010Gray Television Cut Losses in 2009”
After a rough month in which Gray Television narrowly diverted default, the broadcast group posted reduced losses for the fourth quarter of 2009 and the full year.
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