iHeartCommunications proposes senior note exchange

iHeartCommunications, Inc. has begun a private offer to holders of its outstanding 10.0% senior notes due 2018 to exchange outstanding notes for newly issued 11.25% priority guarantee notes due 2021, the company said.

The new notes will be issued as “additional notes” under the indenture governing iHeartCommunications´ existing 11.25% priority guarantee notes due 2021 that were issued on February 28, 2013, will be treated as a single class with the existing notes for all purposes under such indenture and will have the same terms as the existing notes. However, the new notes will not trade fungibly with the existing notes.

The exchange offer will expire at midnight, New York City time, on January 19, 2017, unless extended by iHeartCommunications.

The new notes will mature on March 1, 2021, and will accrue interest beginning on their issuance date at a rate of 11.25% per annum in cash.

iHeartMedia, Inc. (PINK:IHRT), the parent company of iHeartCommunications, Inc., is a global media and entertainment company that specializes in radio, digital, outdoor, mobile, social, live events, on-demand entertainment and information services for local communities, and uses its unparalleled national reach to target both nationally and locally on behalf of its advertising partners.