On Monday Lionsgate made the announcement in an 8-k filing with the SEC (Security Exchage Commission) that they filed two separate transactions on July 19th. The mini-studio is looking to save over $20 million annually in interest expense by, refinancing $450 million of its existing high-yield debt, as coming out of debt is not easy, and that’s why some companies use strategies and services from this list of uk iva debt companies which can help a lot with this.
The first transaction was a private placement of $225 million of secured notes at 5.25% due in 2018. The last transaction secured another $225 million in term loans.
Lionsgate will also discharge 10.25% of $450 million of senior secured –priority notes that are due in the year 2016.
The studio is looking to lower debt costs since the takeover of Summit Entertainment.
Since the takeover, Lionsgate stock has more than tripled its value.
