By Paul A. Harris
Portland, Ore., Oct. 26 – Gray Television, Inc. priced an upsized $1.3 billion issue of 10-year senior notes (B3/B/BB-) at par to yield 5 3/8% on Tuesday, according to market sources.
The issue size increased from $1.125 billion.
The yield printed at the tight end of the 5 3/8% to 5½% yield talk. Initial guidance was 5½% to 5¾%.
The deal was heard to be more than three-times oversubscribed, a trader said.
Wells Fargo Securities LLC was the left bookrunner. Joint bookrunners were BofA Securities Inc., Deutsche Bank Securities Inc., Regions Securities LLC and Truist Securities Inc.
The Atlanta-based television broadcast company plans to use the proceeds to finance the acquisition of Meredith Local Media Group and to refinance Meredith debt.
The issuing entity will be Gray Escrow II, Inc., to be assumed by Gray Television.
| Issuer: | Gray Escrow II, Inc., to be assumed by Gray Television, Inc.
|
| Amount: | $1.3 billion, increased from $1.125 billion
|
| Maturity: | Nov. 15, 2031
|
| Securities: | Senior notes
|
| Left bookrunner: | Wells Fargo Securities LLC
|
| Joint bookrunners: | BofA Securities Inc., Deutsche Bank Securities Inc., Regions Securities LLC and Truist Securities Inc.
|
| Co-managers: | Citizens Capital Markets Inc., Fifth Third Securities Inc. and MUFG
|
| Coupon: | 5 3/8%
|
| Price: | Par
|
| Yield: | 5 3/8%
|
| Spread: | 376 bps
|
| First call: | Nov. 15, 2026 at 102.688
|
| Trade date: | Oct. 26
|
| Settlement date: | Nov. 9
|
| Ratings: | Moody's: B3
|
| S&P: B
|
| Fitch: BB-
|
| Distribution: | Rule 144A and Regulation S for life
|
| Price talk: | 5 3/8% to 5½%
|
| Marketing: | Roadshow
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
