Liberty Media unit refinances with $2.93 billion facility

By William Gullotti

Buffalo, N.Y., Nov. 23 – Liberty Media Corp. announced that subsidiary Delta Topco Ltd. refinanced about $2.93 billion in multiple parts, according to an 8-K filing with the Securities and Exchange Commission.

The transaction replaced a previous $500 million first-lien revolver with a new $500 million first-lien revolver. The company’s previous $2,902,000,000 billion first-lien term loan B was replaced with a new first-lien term loan A totaling $725 million and a refinanced term loan B totaling $1.7 billion.

The refinanced term loan B matures Jan. 15, 2030, with the term loan A and first-lien revolver maturing two years earlier on Jan. 15, 2028.

Interest on facility borrowings will be based on SOFR. The margin for the term loan B is 325 basis points, with the potential to step down by 25 bps if a certain leverage test is met. The margins on the revolver and term loan A will range from 150 bps to 225 bps, depending on leverage ratios, but will remain fixed at 175 bps for the first year.

The first-lien revolver was undrawn at closing.

Using cash on hand, the refinancing transactions resulted in an aggregate reduction of debt.

Liberty Media is an Englewood, Colo.-based owner and operator of media, communications and entertainment businesses. Delta Topco is the new parent of Formula 1.

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