Gray Media, Inc. has announced the pricing of its private offering of $900 million aggregate principal amount of 9.625% senior secured second lien notes due 2032, representing an increase of $150 million over the initial amount. The notes were priced at 100% of par and are expected to close on July 18, 2025.
The purpose of the offering, along with borrowings under Gray's revolving credit facility, is to redeem all outstanding 7.000% senior notes due 2027, repay a portion of Gray's term loan F due June 4, 2029, and pay fees and expenses related to the offering.
The notes will be guaranteed, jointly and severally, on a senior secured second lien basis, by each existing and future restricted subsidiary of Gray that guarantees Gray’s existing senior credit facility. The offering is available to qualified institutional buyers under Rule 144A of the Securities Act of 1933 and to non-U.S. persons in transactions outside the United States under Regulation S of the Securities Act.
It's important to note that the notes have not been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from, or in a transaction not subject to, the registration requirements of the securities act and other applicable securities laws. This press release does not constitute a notice of redemption with respect to the 2027 notes or an offer to sell or the solicitation of an offer to buy.
This announcement aligns with Gray's strategic financial moves, indicating a shift in its capital structure and debt management. As a result of these announcements, the company's shares have moved 6.61% on the market, and are now trading at a price of $5.565. For the full picture, make sure to review GRAY MEDIA, INC's 8-K report.
