Cumulus Media Closes On Discounted Loan Prepayment
December 31, 2015 at 7:48 AM (PT)
CUMULUS MEDIA INC. has completed a discounted prepayment of a portion of its $1.9 billion senior secured term loan facility due DECEMBER, 2020, NASDAQ reports. The company successfully purchased $64.9 million face value of its senior secured term loan for $50 million, a discount to par value of 23%. The transaction closed today.
The company will recognize a one-time non-operating gain of approximately $14.9 million in its fourth quarter earnings as a result of the transaction., which will reduce the annual interest expense by $2.75 million.