By Devika Patel
Knoxville, Tenn., March 16 – Lee Enterprises, Inc. completed an approximately $576 million long-term debt financing with Berkshire Hathaway to fund the company’s acquisition of BH Media Group’s publications and The Buffalo News for $140 million in cash, according to a press release. The deal was announced on Jan. 29.
The debt has a 9% coupon and matures in 25 years.
The proceeds from the financing were used to pay for the acquisition and refinance Lee’s existing debt and also allowed Lee to terminate its revolving credit facility. Berkshire Hathaway is now Lee’s sole lender.
Lee is a Davenport, Iowa-based newspaper publisher.
| Issuer: | Lee Enterprises, Inc.
|
| Issue: | Debt financing
|
| Amount: | $576 million
|
| Maturity: | 25 years
|
| Coupon: | 9%
|
| Investor: | Berkshire Hathaway
|
| Announcement date: | Jan. 29
|
| Settlement date: | March 16
|
| Distribution: | Private placement
|
|
|
© 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.
