BALTIMORE, July 9, 2019 /PRNewswire/ -- In connection
with its $9.6 billion pending and
previously announced acquisition of a regional sports networks
business ("RSN") from The Walt Disney Company, Sinclair Broadcast
Group, Inc. ("Sinclair" or the
"Company") (Nasdaq: SBGI) announced today that its indirect
wholly-owned subsidiary, Diamond Sports Group, LLC ("Diamond"),
intends to raise $3.3 billion of term
B loans due 2026 (the "RSN Term Loans"). Diamond Sports
Intermediate Holdings, LLC ("Holdings"), Diamond's direct parent,
and all of Holdings' direct and indirect wholly-owned domestic
subsidiaries (other than Diamond) will initially guarantee the RSN
Term Loans. In addition, Sinclair's wholly-owned subsidiary, Sinclair
Television Group, Inc. ("STG"), intends to raise $700 million of incremental term B loans due 2026
(the "STG Term Loans") and amend certain terms under its existing
bank credit facility to introduce additional operating
flexibility.
The net proceeds of the RSN Term Loans and the STG Term Loans
will be used to fund a portion of the purchase price for the RSN
acquisition.
Sinclair is one of the largest and
most diversified television broadcasting companies in the country.
The Company owns, operates and/or provides services to 191
television stations in 89 markets. Sinclair is a leading local news provider dedicated
to impactful journalism with a local focus. The Company has
multiple national networks, live local sports production, as well
as stations affiliated with all the major networks. Sinclair's content is delivered via
multiple-platforms, including over-the-air, multi-channel video
program distributors, and digital platforms. The Company regularly
uses its website as a key source of Company information which can
be accessed at www.sbgi.net.
Forward-Looking Statements:
The matters discussed in this news release include
forward-looking statements regarding, among other things, future
operating results. When used in this news release, the words
"outlook," "intends to," "believes," "anticipates," "expects,"
"achieves," "estimates," and similar expressions are intended to
identify forward-looking statements. Such statements are
subject to a number of risks and uncertainties. Actual
results in the future could differ materially and adversely from
those described in the forward-looking statements as a result of
various important factors, including and in addition to the
assumptions set forth therein, but not limited to, general
economic, market, or business conditions; Diamond's ability to
consummate the RSN Term Loan; STG's ability to consummate the STG
Term Loan; risks associated with the ability to consummate the RSN
acquisition and the timing of the closing of the RSN acquisition;
the risk that a regulatory approval that may be required for the
proposed transaction is delayed, is not obtained or is obtained
subject to conditions that are not anticipated; the ability to
successfully integrate RSN's operations and employees; the ability
to realize anticipated benefits of the RSN acquisition; and any
risk factors set forth in the Company's recent reports on Form 10-Q
and/or Form 10-K, as filed with the Securities and Exchange
Commission. There can be no assurances that the assumptions
and other factors referred to in this release will occur. The
Company undertakes no obligation to publicly release the result of
any revisions to these forward-looking statements except as
required by law.
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SOURCE Sinclair Broadcast Group, Inc.