Nexstar announces tender offer for $325 million 8 7/8% notes due 2017

By Susanna Moon

Chicago, Sept. 17 - Nexstar Broadcasting Group, Inc. said Nexstar Broadcasting, Inc. and Mission Broadcasting, Inc. began a cash tender offer and consent solicitation for their outstanding $325 million principal amount of 8 7/8% senior secured second-lien notes due 2017.

Holders may tender their notes by the consent payment deadline of 5 p.m. ET on Sept. 30 to receive the total purchase price of $1,088.75, which includes a consent payment of $30.00 per $1,000 principal amount.

Those who tender their notes after the consent deadline will receive the tender payment of $1,058.75 per $1,000 of notes.

The company also will pay accrued interest up to but excluding the settlement date.

The tender offer and consent solicitation will run until midnight ET on Oct. 15.

Tendered notes may be withdrawn until the consent deadline.

The issuers are soliciting consents to amend the notes to eliminate substantially all restrictive covenants and some events of default, according to a company press release.

In addition, the proposed amendments will provide for the release of the liens on the collateral that secures the issuers' and the company's obligations under the notes.

The proposed amendments require the consent of the holders of at least a majority of the outstanding principal amount of the notes, and the amendments for the release of the liens on the collateral require the consent of the holders of at least 75% of the outstanding principal amount of the notes.

Holders who tender their notes will be deemed to consent to all of the proposed amendments, and holders may not deliver consents without tendering their notes.

The tender offer has a financing condition.

Nexstar planned to price a $275 million tack-on to its 6 7/8% senior notes due Nov. 15, 2020 on Sept. 17, as reported by Prospect News.

Credit Suisse Securities (USA) (800 820-1653 or collect 212 325-2476) and RBC Capital Markets (877 381-3000 or collect 212 618-7822) are the dealer managers and solicitation agents. Global Bondholder Services Corp. (866 389-1500 or collect 212 430-3774) is the information agent and depositary.

Nexstar is an Irving, Texas-based television station operator in small- to medium-sized markets.

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