On January 24, 2019, Lions Gate Entertainment Corp. (the “Company”) priced a private offering (the “Offering”) of $550 million in aggregate principal amount of 6.375% senior notes due 2024 (the “notes”) issued by Lions Gate Capital Holdings LLC, an indirect wholly owned subsidiary of the Company. This represents an upsize of $150 million from the amount previously disclosed. The notes will bear interest at a rate of 6.375% per annum and will mature on February 1, 2024.
The Company intends to use the net proceeds from the Offering to repay a portion of its loans outstanding under its revolving credit facility, with any remaining net cash proceeds to be available to the Company for working capital and other general corporate purposes.
The Offering is expected to close on February 4, 2019, subject to customary closing conditions.
This current report does not constitute an offer to sell or the solicitation of an offer to buy the notes nor shall there be any offer, solicitation or sale of the notes in any state in which such offer, solicitation or sale would be unlawful. The notes have not been and will not be registered under the Securities Act of 1933, as amended (the “Securities Act”), or applicable state securities laws, and may not be offered or sold in the United States absent registration or pursuant to an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws.
Caution Regarding Forward-Looking Statements
This communication may contain certain forward-looking statements, including certain plans, expectations, goals, projections, and statements about the benefits of the Offering, the expected timing of completion of the Offering, and other statements that are not historical facts. Such statements are subject to numerous assumptions, risks, and uncertainties. Statements that do not describe historical or current facts, including statements about beliefs and expectations, are forward-looking statements. Forward-looking statements may be identified by words such as expect, anticipate, believe, intend, estimate, plan, target, goal, or similar expressions, or future or conditional verbs such as will, may, might, should, would, could, or similar variations.