Gray Media Completes Offering of Senior Secured Notes
ATLANTA – Gray Media, Inc. (“Gray”) (NYSE: GTN) has successfully finalized its recent offering of $250 million in additional 9.625% senior secured second lien notes with a due date set for 2032. This move aligns with the company’s previously communicated strategy. The offering is executed under Purchase Agreements established on December 5, and the notes were issued at a premium of 102% plus accrued interest effective from July 18.
Details of the New Notes Offering
The newly added notes will be treated as part of a larger issue, placing them on an equal footing with the existing notes that total $900 million, which were initially issued in July 2025. This consolidation offers investors a streamlined view of the company’s secured financial liabilities.
Utilization of Proceeds
The funds raised through this offering will be instrumental in several key financial maneuvers. Primarily, the net proceeds will contribute to the redemption of a portion of Gray’s 10.500% senior secured first lien notes due in 2029. Additionally, some of the funds will cover associated fees and expenses linked with the offering, while the remainder is allocated for general corporate needs.
Interest and Maturity Dates
Interest on these notes will start accruing from July 18 and is set to be paid biannually, specifically on January 15 and July 15 each year, beginning in January 2026. The final maturity date for these notes will occur on July 15, 2032.
Regulatory Insights
It is crucial to note that the notes and corresponding guarantees have not been registered under the Securities Act of 1933 and will not be available for public sale in the United States without proper registration or an applicable exemption. The offering took place in a private transaction to comply with Section 4(a)(2) of the Securities Act and relevant regulations.
Company Performance and Forward Planning
Gray has positioned itself strategically in the marketplace, enhancing its balance sheet and focusing on optimized financial performance. The recent offering of senior secured notes reflects Gray's ongoing commitment to fostering growth and stability while managing its multi-faceted financial obligations effectively.
Investment Strategies
Investors are encouraged to view the full scope of Gray's operations and recent strategic maneuvers, which include the execution of this bond offering as a pivotal part of their investment strategy. Gray aims to remain adaptive and responsive to market conditions while sustaining growth potential.
Company Contacts
For further inquiries or detailed information regarding the recent financial moves, interested parties can reach out to:
Jeffrey R. Gignac, Executive Vice President, Chief Financial Officer, at 404-504-9828.
Kevin P. Latek, Executive Vice President, Chief Legal and Development Officer, at 404-266-8333.
Frequently Asked Questions
What is the total amount raised in the recent offering?
The recent offering raised a total of $250 million in additional senior secured notes.
When do the notes mature?
The notes are set to mature on July 15, 2032.
What are the intended uses of the raised funds?
The proceeds will be used to redeem some of Gray’s first lien notes, pay fees, and cover general corporate purposes.
What interest rate does the new offering carry?
The newly offered notes carry an interest rate of 9.625%.
How can investors contact Gray Media for more details?
Investors can contact Jeffrey R. Gignac or Kevin P. Latek at the respective phone numbers provided in the press release for any inquiries.
