Gannett pays down another $22.3 million of first-lien debt

By Mary-Katherine Stinson

Lexington, Ky., Feb. 3 – Gannett Co., Inc. gave an update on the progress on its debt repayments via real estate sales completed in January, according to an 8-K filing with the Securities and Exchange Commission and a press release.

The company used proceeds of $21.3 million from the January sales to reduce its first lien debt by $22.3 million.

About $5 million was used to repurchase about $6.1 million of 6% first-lien notes due Nov. 1, 2026, discounted from par. The remaining $16.3 million of proceeds were used to repay amounts under a five-year senior secured term loan facility.

"We continue to make meaningful progress in reducing our first lien debt, which will continue to lead toward an improved capital structure and stronger balance sheet. We expect to sell another $50 million to $60 million in real estate and other assets in 2023, the proceeds of which we expect to use to pay down debt. As a result, we expect to reduce our debt within the year by approximately $120 million through the sale of real estate and other assets, along with our scheduled quarterly amortization payments,” Michael Reed, Gannett chairman and chief executive officer, said in the press release.

Gannett is a McLean, Va.-based media and marketing solutions company.

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