SiriusXM to borrow extra $1.5bn
June 19, 2019
By Chris Forrester
Pay-radio operator SiriusXM had planned to raise $750 million of extra borrowings in the form of Senior Notes due for repayment in 2024. But such was the positive response from potential lenders that it doubled the sum, to $1.5 billion, and priced the borrowings at 4.625 per cent.
The company says it intends to use the net proceeds from this offering, together with cash on hand, to redeem a portion of its 6.00 per cent Senior Notes due 2024 at a purchase price of 103.00 per cent of the principal amount thereof plus accrued and unpaid interest.
This is but the latest in a series of similar financial announcements. Back on June 5th, SiriusXM raised $1.25 billion of Notes due for repayment in 2029. Last September, it agreed to buy music streamer Pandora for $3.5 billion.