Lions Gate to redeem all $432 million 10¼% notes due 2016 on Aug. 19

By Toni Weeks

San Luis Obispo, Calif., July 22 - Lions Gate Entertainment Inc. issued a call last Friday to fully redeem its $432 million of 10¼% senior secured second-priority notes due 2016.

The company will redeem the notes on Aug. 19 at par plus interest of $30.75 and an applicable premium of $70.58, for a total redemption price of $1,101.33 per $1,000 principal amount of notes.

Lions Gate will fund the redemption with the proceeds of a $255 million offering of 5¼% senior secured second-priority notes due 2018, cash on hand and borrowings under the company's revolving credit facility, as reported by Prospect News.

U.S. Bank NA is the trustee.

Lions Gate is a Vancouver, B.C.-based entertainment company in motion picture production and distribution, television programming and syndication, home entertainment, family entertainment, digital distribution and new channel platforms.

© 2015 Prospect News.
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