Hubbard Sets Rate On Refinancing Loan
January 29, 2013 at 4:28 AM (PT)
HUBBARD RADIO, LLC, looking to lower its rate on its existing term loan facility by refinancing, has set the rate on a $358 million term loan B at 3.5 to 3.75 points above the LONDON interbank offered rate (LIBOR), reports BLOOMBERG BUSINESSWEEK, citing "a person with knowledge of the transaction."
The term loan B will mature in APRIL 2017 and will be sold at par; the company also wants to increase the facility by $140 million to $358 million to raise proceeds to refinance its second-lien term loan due in 2018, according to the source.
The loan, maturing in April 2017, will pay interest at 3.5 percentage points to 3.75 percentage points more than the LONDON interbank offered rate and will be sold at par, according to the person. Libor, a rate banks say they can borrow in dollars from each other, will have a 1.25 percent floor.