Citizens Agents New Media $225MM Refi Facility
New Media Investment Group announced the successful completion of a new $200 million term loan as well as a $25 million revolving credit facility.
According to a related 8-K filing, Citizens Bank of Pennsylvania served as administrative agent, RBS Citizens and Credit Suisse AG, Cayman Islands Branch, served as joint lead arrangers and joint bookrunners.
On June 4, 2014, New Media borrowed $200 million under the term loan facility. The term loans mature on June 4, 2020 and the maturity date for the revolving credit facility is June 4, 2019.
The term loan is priced at L+6.25% with a 1.00% LIBOR floor and has mandatory annual amortization of 1.00%. The revolver is priced at L+5.25%, with a step down based on the company’s total leverage ratio.
The proceeds of the new term loan will be used to repay New Media’s existing facilities and transaction costs, with the balance of the proceeds remaining available for investments and other corporate purposes.
“The new credit facility greatly improves our operational flexibility and DCF,” said Mike Reed, CEO New Media. “By combining our multiple facilities into one, we are able to increase the overall liquidity of the company.
New Media is focused primarily on investing in a high quality, diversified portfolio of local media assets, and on growing existing advertising and digital marketing businesses. The Company is one of the largest publishers of locally based print and online media in the United States as measured by number of daily publications. The Company operates in 356 markets across 24 states. New Media’s portfolio of products, which includes 429 community publications, 356 related websites, and six yellow page directories, serves more than 130,000 business advertising accounts and reaches over 12 million people on a weekly basis.