Urban One gives early participation results for exchange, consent offer

Chicago, Oct. 19 – Urban One, Inc. announced results of early participation in its exchange offer and consent solicitation for its $350 million 7 3/8% senior secured notes due 2022 (Cusips: 75040PAS7, U74935AF1) for newly issued 8¾% senior secured notes due Dec. 15, 2022, according to a news release.

As of the early tender date, noteholders had tendered $347,016,000, or 99.15%, of the notes.

The exchange offer was conditioned upon the receipt of consents from the holders of at least 90% of notes.

The early tender date was 5 p.m. ET on Oct. 16. Eligible holders who validly tender and do not validly withdraw by this time will receive the early tender consideration of $10 per $1,000 plus interest and $1,000 of new notes for $1,000 of old notes.

Any existing notes validly tendered after the early tender date, but before the 11:59 p.m. ET on Oct. 30 expiration date, will receive $5 and interest and $1,000 of new notes for each $1,000 of old notes.

Consent offer

Urban One was also soliciting consents from holders to eliminate substantially all of the restrictive covenants, certain affirmative covenants and certain events of default contained in the indenture governing the existing notes and enter into a new intercreditor agreement under which all collateral proceeds received by the collateral agent of the existing notes will be paid to the collateral agent of the new notes to the extent of the outstanding balance of the existing notes.

The company will also enter into an amendment to certain terms of its unsecured term loan by and among the company, the lenders party thereto from time to time and Wilmington Trust, NA, as administrative agent, including the extension of the maturity date of the unsecured term loan by 90 days, which maturity is more than 90 days after the maturity date of the new notes.

Details

Tenders may be validly withdrawn at any time prior to 11:59 p.m. ET on Oct. 30, the expiration date.

Settlement is expected for Nov. 3.

D.F. King & Co., Inc. (866 530-8623, 212 269-5550, urban1@dfking.com) is the information agent.

Urban One is a Washington, D.C.-based urban-oriented multimedia 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.