Tribune Publishing launches term loan at Libor plus 400-425 bps

By Sara Rosenberg

New York, June 17 – Tribune Publishing Co. launched on Tuesday its $350 million seven-year senior secured term loan (B1/B+) with price talk of Libor plus 400 basis points to 425 bps with a 1% Libor floor and an original issue discount of 99˝, according to a market source.

The term loan has 101 soft call protection for six months.

The company’s $490 million credit facility also includes a $140 million five-year asset-based revolver (BB).

Commitments are due on July 1, the source added.

J.P. Morgan Securities LLC is the lead bank on the deal.

The facility is being done in connection with the separation of Tribune Publishing from Tribune Co.

Proceeds will be used for working capital and to fund a dividend to Tribune of up to $275 million, which Tribune will then use to repay debt.

Closing is expected in the third quarter.

Tribune Publishing is a Chicago-based newspaper publishing and local news and information gathering company.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.