Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers Y > Headlines for Young Broadcasting Inc. > News item |
Young Broadcasting sets price in tender for 8½% notes
New York, April 22 - Young Broadcasting Inc. announced pricing in its tender offer and consent solicitation for its $246.89 million of 8½% senior notes due 2008.
Young will pay $1,069.56 per $1,000 for notes tendered by the consent deadline, which includes a consent payment of $30.00 per $1,000.
The New York-based television company announced the offer on April 11 and said it would fund it with proceeds from a planned amendment and restatement of its credit facility. Completion of the facility is a condition to the tender.
For each $1,000 principal amount of the notes, Young is offering the present value on the early payment date of the sum of $1,042.50 plus interest from the payment through Dec. 15, 2005 minus accrued interest up to the payment date. The present value will be set using a spread of 75 basis points over the yield to maturity of the 1.875% U.S. Treasury note due Nov. 30, 2005. The total includes a $30.00 per $1,000 consent payment that will only be paid to holders who tender with consents by the consent deadline of 5 p.m. ET on April 22. The tender ends at 5 p.m. ET on May 9. Pricing will be set on April 22.
Young will also pay accrued interest up to but excluding the payment date.
The consent solicitation is to eliminate substantially all of the restrictive covenants and certain events of default in the note indenture.
Holders may not tender without delivering consents and vice versa.
The offer is subject to the receipt of consents from holders of a majority of the notes.
Wachovia Securities (704 715-8341 or 866 309-6316), Lehman Brothers (212 528-7581 or 800 438-3242) and Merrill Lynch (212 449-4914 or 888 ML4-TNDR) are dealer managers and solicitation agents.
© 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.