Speedway pricing $100 million tap of 6¾% note due 2019 Tuesday

By Paul A. Harris and Aleesia Forni

Columbus, Ohio, Jan. 8 - Speedway Motorsports Inc. is planning to price a $100 million add-on to its 6¾% senior notes due Feb. 1, 2019 (expected ratings Ba2/BB-), a market source said.

The company held an investor call at 10:30 a.m. ET.

Bank of America Merrill Lynch, J.P. Morgan Securities LLC, SunTrust Robinson Humphrey Inc. and Wells Fargo Securities LLC are the joint bookrunners.

U.S. Bancorp Investments Inc. is the senior co-manager, and PNC Capital Markets LLC is a co-manager.

The Rule 144A with registration rights and Regulation S notes carry a make-whole call at Treasuries plus 50 bps until Feb. 1, 2015 and will then be callable at 103.375.

The notes also carry a 101% poison put.

Proceeds will be used to repay the outstanding term loan under the existing credit facility.

Following this offering, the company expects to enter into a new $350 million credit facility with a portion of those proceeds being used to redeem its 8¾% senior notes due 2016.

The Concord, N.C.-based motorsports promoter priced the original $150 million issue at par in January 2011.

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