WMG Gets A Lower Rate On A $820 Million Loan
May 6, 2013 at 3:56 AM (PT)
WARNER MUSIC GROUP has made a financial move, and lowered the rate on an existing $820 million loan to support its acquisition of PARLOPHONE LABEL GROUP, and is looking to lower borrowing costs on an existing $492 million of debt.
BLOOMBERG reports, "The $820 million piece, which expires in JULY 2020, will pay interest at 2.75 percentage points more than the LONDON interbank offered rate, with a 1% minimum, down from 3.25 percentage points more than LIBOR and a 1% floor initially proposed, said the person, who asked not to be identified because the information is private. The loan will be offered to lenders at 99.75 cents on the dollar."
CREDIT SUISSE GROUP AG is arranging the financing.