Scripps prices $750 million in senior notes at 9.875%

CINCINNATI - The E.W. Scripps Company (NASDAQ:SSP), currently trading at a modest market capitalization of $270 million and showing strong financial health according to InvestingPro analysis, has priced an offering of $750 million in 9.875% senior secured second-lien notes, representing a $100 million increase from the previously announced offering size, according to a press release statement issued Tuesday.

The notes will mature in 2030, with the offering expected to close on August 6, 2025, subject to customary closing conditions. The private offering is exempt from Securities Act registration requirements.

Scripps plans to use the proceeds to redeem all outstanding 5.875% senior notes due 2027, pre-pay a portion of borrowings under its term loan B-2 facility due in 2028, repay some revolving credit facility borrowings, and cover transaction fees and expenses.

The notes will be guaranteed by certain Scripps subsidiaries and secured on a second-lien basis by substantially all existing and future assets of the company and guarantors, with customary exceptions.

The offering is limited to qualified institutional buyers under Rule 144A of the Securities Act or non-U.S. persons outside the United States in compliance with Regulation S.

Scripps operates as a diversified media company with a portfolio of more than 60 local TV stations across over 40 markets. The company also owns national news outlets Scripps News and Court TV, entertainment brands including ION, and Scripps Sports, which serves professional and college sports leagues. Trading at a notably low Price/Book ratio of 0.3, the stock has shown impressive momentum with a 74% return over the past six months. Detailed analysis and additional insights are available in the comprehensive Pro Research Report on InvestingPro.

In other recent news, E.W. Scripps Company reported its Q1 2025 earnings, with results exceeding analyst expectations. The company posted an earnings per share (EPS) loss of $0.22, which was better than the projected loss of $0.37, and revenue reached $524.39 million, slightly surpassing forecasts. Additionally, E.W. Scripps launched a $650 million senior secured notes offering, intending to use the proceeds to redeem outstanding notes due in 2027 and pre-pay part of an existing loan. In terms of credit ratings, Moody’s assigned a Caa2 rating to the new notes and upgraded the company’s probability of default rating, while Fitch Ratings upgraded Scripps’ Long-Term Issuer Default Rating to ’CCC’ from ’CCC-’. Furthermore, the company extended its partnership with the Women’s National Basketball Association to continue broadcasting Friday night games on its ION network. These developments reflect ongoing strategic financial maneuvers and partnerships by E.W. Scripps.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.