This is the latest effort in Lionsgate’s campaign to take advantage of today’s low interest rates and reduce its annual interest costs. It should save more than $20M a year as a result of two transactions worth $450M made on Friday, and disclosed in SEC filings this morning. The new funds, plus cash on hand, enabled Lionsgate to pay off debt that carried a super-high rate of 10.25%. Lionsgate sold $225M of senior secured second priority debt that pays 5.25% and is due in 2018. The other deal, also for $225M, is a term loan described as Second Lien Credit and Guarantee Agreement. Lionsgate expects to save $10M+ a year following its earlier agreement to pay off its $500M Summit term loan more than two years early.
Lionsgate Could Save $20M A Year From New Debt Deals
What's Hot on Deadline
Jimmy Kimmel Defends Florida Students Under Attack From Far Right Wingnuts Ted Nugent, Donald Trump Jr.
Latest Business News
- Hollywood Activists Join In Pressuring Amazon To Drop NRA TV From Streaming Service
- Television Academy Sets Code of Conduct
- Freeform Ups Deena Beach And Dalia Ganz To VP Level
- CNN Gun Violence Town Hall Trounces Competition In Early Ratings
- Tegna Board Elects Dell Executive As New Chairman
- Fox In Talks To Acquire Tribune Stations Post Sinclair Merger