Hubbard Broadcasting reveals talk on $405 million facility with launch

By Sara Rosenberg

New York, March 24 - Hubbard Broadcasting Inc. came out with price talk on its proposed $405 million credit facility as the deal was launched with a bank meeting on Thursday at 10:30 a.m. ET at the Le Parker Meridien in New York, according to a market source.

The $10 million five-year revolver and $255 million six-year first-lien term loan are being talked at Libor plus 400 basis points to 425 bps with a 1.5% Libor floor, the source said. The revolver is being offered at an original issue discount of 99 and the term loan is being offered at 991/2.

Meanwhile, the $140 million seven-year second-lien term loan is being talked at Libor plus 750 bps to 775 bps with a 1.75% Libor floor and an original issue discount of 981/2, the source continued.

The second-lien loan has call protection of 103 in year one, 102 in year two and 101 in year three.

Morgan Stanley & Co. Inc. and Goldman Sachs & Co. are the lead banks on the deal, with Morgan Stanley the left lead.

Proceeds will be used to help fund the acquisition of 17 radio stations from Bonneville International Corp.

The acquisition, which is valued at about $505 million, is expected to be completed upon FCC approval and other customary conditions.

Hubbard Broadcasting is a St. Paul, Minn.-based television and radio broadcasting company.

© 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.