Nexstar buys back $34.3 million 13% PIK notes in tender offer

By Angela McDaniels

Tacoma, Wash., May 12 - Nexstar Broadcasting Group Inc. said its subsidiary, Nexstar Broadcasting, Inc., repurchased $34.3 million principal amount, or 82.47%, of its $42,628,179 outstanding principal amount of 13% senior subordinated payment-in-kind notes due 2014 in a tender offer that expired at midnight ET on April 30.

In addition, the company purchased approximately $1 million of the notes at a discount during the first quarter, according to its earning release.

The tender offer and consent solicitation for the notes began on April 5.

The company received enough consents to adopt proposed amendments to the notes, and a supplemental indenture has been executed. The amendments eliminate substantially all of the restrictive covenants in the indenture governing the notes and some event-of-default provisions.

Holders received $1,045 per $1,000 of notes, which includes a consent payment of $30 for each note tendered by the consent payment date, 5 p.m. ET on April 16.

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

Holders who tendered were deemed to have consented to the amendments, and holders could not consent without tendering their notes.

The company paid for the notes with a portion of the proceeds it received from an offering of senior secured second-lien notes due 2017, borrowings under its refinanced senior secured credit facility and cash on hand.

Bank of America Merrill Lynch (888 292-0070 or, collect, 646 855-3401) was the dealer manager and solicitation agent for the tender offer and consent solicitation. Global Bondholder Services Corp. (866 389-1500 or, collect, 212 430-3774) was the information agent and depositary.

Nexstar is an Irving, Texas-based television station operator.

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