Scripps finalizes deals to refinance revolving credit line and term loans due in 2026 and 2028

Scripps recently concluded a series of refinancing transactions to bolster its financial position. These refinancing initiatives involved various aspects, including the refinancing of existing term loans, replacement of revolving credit facilities, and the establishment of a new accounts receivable securitization facility.

Approximately $110.8 million worth of existing tranche B-2 term loans were refinanced with new tranche B-2 term loans due in 2028. Additionally, Scripps repaid remaining existing tranche B-2 term loans with cash, which included proceeds from a new accounts receivable securitization facility and around $223.5 million funded by participating lenders and cash reserves. Furthermore, they refinanced approximately $540.2 million (99.8%) of existing tranche B-3 term loans with new tranches B-2 and B-3 term loans. The remaining existing tranche B-3 term loans were settled using cash reserves and proceeds from the revolving credit facilities.

The existing revolving credit facility was replaced with a new facility offering up to $208 million in commitments due by July 2027, along with a new non-extended revolving credit facility providing up to $70 million until January 2026. Moreover, a new accounts receivable securitization facility with commitments of up to $450 million was entered into by Scripps.

Following these transactions, no existing term loans or revolving commitments remain outstanding. Scripps now has $545.2 million in new tranche B-2 term loans and $340.2 million in new tranche B-3 term loans. The total aggregate revolving commitments, inclusive of the new facility, amount to $278 million. These strategic maneuvers have significantly enhanced Scripps’ financial standing by extending maturities and providing flexibility to execute crucial initiatives.

The company plans to submit a Form 8-K with the Securities and Exchange Commission, providing further details on the completion of these transactions. Legal counsel and financial advisors such as Simpson Thacher & Bartlett LLP and Perella Weinberg Partners guided Scripps through these refinancing activities.

This press release emphasizes that no securities offering is involved in these transactions and cautions against any trade or transfer of securities in violation of the law. The idea behind these forward-looking statements is to forecast how Scripps believes the company’s operating results and financial condition will evolve. While these represent management’s expectations and assumptions, they are subject to risks and uncertainties. Factors such as changes in advertising demand, regulatory alterations, rising programming costs, and debt management may influence actual financial results differently than predicted.

To address potential investor concerns, Scripps ensures open communication channels. Should there be any updates or developments affecting the company’s financial outlook, Scripps pledges to share the information promptly and transparently.