Cinemark Holdings, Inc. has revealed the pricing terms of a cash tender offer for any and all of Cinemark USA, Inc.'s 5.875% senior notes due 2026. As of July 9, 2024, Cinemark USA had $405,000,000 in aggregate principal amount of notes outstanding. The tender offer will expire at 5:00 p.m., New York City time, on July 15, 2024.
Holders of the notes who validly tender, and do not validly withdraw, their notes at or prior to the expiration date will be eligible to receive consideration for each $1,000 principal amount of notes validly tendered and accepted for purchase. Additionally, they will receive a cash amount equal to accrued and unpaid interest up to, but not including, the settlement date, which is expected to occur on July 18, 2024.
The pricing terms are as follows:
- Title of security: 5.875% senior notes due 2026
- CUSIP numbers: 144A: 172441 BD8, Reg S: U17176 AK1
- Aggregate principal amount outstanding: $405,000,000
- U.S. Treasury reference security: 1.750% U.S. Treasury due March 15, 2025
- Bloomberg reference page: FIT3
- Reference yield: 5.093%
- Fixed spread: 50 bps
- Purchase price: $1,001.71
The tendered notes may be withdrawn at any time at or prior to the expiration date. Cinemark USA reserves the right to terminate, withdraw, or amend the tender offer at any time, subject to applicable law. The tender offer is subject to the satisfaction or waiver of certain conditions, including Cinemark USA’s completion of one or more debt financing transactions in an amount sufficient to fund the purchase of all of the outstanding notes and to pay all fees and expenses associated with such financing and the tender offer.
The tender offer is not conditioned on any minimum amount of notes being tendered. It is being made pursuant to the terms and conditions contained in the offer to purchase and notice of guaranteed delivery.
About Cinemark: Headquartered in Plano, TX, Cinemark (NYSE: CNK) is one of the largest and most influential movie theatre companies in the world. As of March 31, 2024, it operated 502 theatres with 5,708 screens in 42 states domestically and 13 countries throughout South and Central America.
Investor Relations Contact: Chanda Brashears (972) 665-1671 [email protected] Media Contact: Julia McCartha (972) 665-1322 [email protected] Today the company's shares have moved -1.7% to a price of $21.23. If you want to know more, read the company's complete 8-K report here.
