Sinclair Broadcast Group Inc. said Wednesday it has arranged funding for its planned $1 billion deal to buy seven ABC affiliates and a Washington-based cable news network from Allbritton Communications.
A company subsidiary, Sinclair Television Group Inc., closed a private offering of $550 million aggregate principal amount of senior unsecured notes due 2024, which will bear interest at 5.6 percent to be paid semi-annually. The notes are being sold to institutional buyers, the company said.
The net proceeds from the placement of notes will fund the acquisition, combined with $400 million in loans, a draw from a revolving credit facility and cash, the television station owner said.
Sinclair, based in Hunt Valley, owns, operates or provides programming and sales services to 162 television stations in 78 markets in the U.S., reaching nearly 40 percent of households with televisions.