Polish satellite TV broadcaster TVN is to redeem €35m of its senior notes due 2018 as part of an ongoing deleveraging strategy.
The company said that its subsidiary TVN Finance Corporation III has issued a notice of redemption to the holders of the…
Polish satellite TV broadcaster TVN is to redeem €35m of its senior notes due 2018 as part of an ongoing deleveraging strategy.
The company said that its subsidiary TVN Finance Corporation III has issued a notice of redemption to the holders of the 7.875% senior notes due 2018. An initial €35m is to be redeemed on 20 March 2014 at a redemption price of 105.906% plus accrued but unpaid interest.
TVN added that it intends to use up to €60m this year for the early redemption of these notes.
There is currently €165.448m outstanding of the notes. The initial call option, at a price of 105.906%, was 15 November 2013. By November 2014, that call price falls to 103.938% and then to 101.969% a year later.
Alongside the 2016 senior notes, TVN currently has €430m of 7.375% senior notes due in 2020.
Those notes were raised in September 2013 with the proceeds being used, together with cash from the disposal of web portal Group Onet.pl, to repurchase the €558m outstanding of 10.75% senior notes due in 2017.
As of 31 December 2013, TVN had net debt of PLN2.18bn and a net debt / adjusted EBITDA ratio of 4.3x. This was actually slightly up on the previous year with the company pointing to the make-whole premium on the refinanced 2017 bonds, as well as the slight weakening of the Polish zloty against the euro.
