- Media and entertainment company Stingray Group (RAY.A) has successfully increased and extended its existing credit facilities
- These consist of a C$325 million revolving credit facility, a $75 million term loan, and a $20 million term loan
- Stingray’s new credit facilities were provided by a syndicate of banks, led by the National Bank of Canada
- This refinancing will provide the company with additional liquidity for operations and future merger and acquisition opportunities
- Stingray Group (RAY.A) is up 0.34 per cent and is currently trading at $5.95 per share
Media and entertainment company Stingray Group (RAY.A) has successfully increased and extended its existing credit facilities.
The company now has an aggregate C$420 million in credit facilities, with improved terms and conditions. These consist of a $325 million revolving credit facility, a $75 million term loan, and a pre-existing $20 million term loan.
The first two facilities are set to mature in October 2023, while the pre-existing loan will mature in May 2021.
The renewed terms included added incremental commitments of up to $100 million, upon request. Combined with a pre-existing sub-debt of $40 million, which matures in October 2023, this creates a total flexibility of up to $560 million.
The aggregate $420 million in new credit facilities was provided by a syndicate of banks, led by the National Bank of Canada.
The syndicate also included the Bank of Montreal, Fédération des Caisses Desjardins, Canadian Imperial Bank of Commerce, The Toronto-Dominion Bank and The Royal Bank of Canada, among others.
This refinancing will provide the company with additional liquidity for operations and future merger and acquisition (M&A) opportunities.
Stingray’s co-founder, President, and CEO, Eric Boyko, welcomed the changes that have been made to the company’s credit facilities.
“We are pleased to have the continued commitment from our existing banking syndicate and partners as we pursue growth opportunities.
“This new financing significantly increases our existing liquidity and allows for additional commitments upon request complementing the measures our team have put in place through this pandemic to ensure we continue to assess and realise upon opportunities in the marketplace,” he said.
Stingray Group (RAY.A) is up 0.34 per cent and is trading at $5.95 per share at 11:40am EDT.