| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers M > Headlines for Midcontinent Communications > News item |
Midcontinent to launch proposed $350 million term loan B on Wednesday
By Sara Rosenberg
New York, July 8 - Midcontinent Communications is scheduled to hold a bank meeting on Wednesday to launch its proposed $350 million 61/2-year term loan B, according to a market source.
Price talk on the term loan B is Libor plus 450 basis points to 475 bps with a 1.75% Libor floor and an original issue discount of 981/2. There is 101 soft call protection for one year.
The company's $675 million senior secured credit facility (B1/B+) also includes a $125 million 51/2-year revolver and a $200 million 51/2-year term loan A, with both of these tranches already fully subscribed, the source said.
The revolver and the term loan A are being talked at Libor plus 400 bps, with the revolver having a 50 bps unused fee.
SunTrust, Wells Fargo, US Bank and RBC are the joint bookrunners on the deal, with SunTrust the left lead. CoBank and Bank of America have signed on as agents.
Proceeds will be used to fund a $320 million distribution to the partnership, refinance about $230 million of debt and for general corporate purposes.
Midcontinent Communications is a partnership that was formed in April 2000 as joint venture between Midcontinent Media Inc. and Comcast Corp.
The company's founder, Larry Bentson, passed away in 2009 and left the business to its three top officers. As part of the estate settlement, the company has to pay $160 million to the estate and $160 million to Comcast - the $320 million distribution that the credit facility will finance.
Midcontinent Communications is a Minneapolis-based provider of cable television, local and long-distance digital telephone service and high-speed internet access.
© 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.