AcquisitionsJul 1, 2026, 09:27 AM
Gray Media Acquires 6 TV Stations, Funds with $70M Notes, Repurchases Preferred
AI Summary
Gray Media, Inc. announced the acquisition of six television stations from American Spirit Media, LLC for $50 million, with the first closing funded by a portion of new debt. To finance this, Gray issued $70.0 million in 7.250% Senior Secured First Lien Notes due 2033 in a private placement. The remaining proceeds were used to repurchase 50,000 shares of Series A Perpetual Preferred Stock for $30.0 million. The acquisition is expected to be cash flow accretive and will not increase the company's consolidated total net leverage ratio.
Key Highlights
- Acquired six television stations from American Spirit Media for $50 million.
- Issued $70.0 million in 7.250% Senior Secured First Lien Notes due 2033.
- Used $40.0 million of note proceeds for the first closing of the acquisition.
- Repurchased 50,000 shares of Series A Perpetual Preferred Stock for $30.0 million.
- Remaining Series A Preferred Stock has an aggregate liquidation preference of $600 million.
- Total outstanding 7.250% Senior Secured First Lien Notes now aggregate $845 million.
- Acquisition expected to be cash flow accretive and not increase leverage ratio.
Price Impact
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