AMC Networks announces a $400 million offering of senior secured notes to fund a tender offer and repay corporate debt.
Quiver AI Summary
AMC Networks Inc. announced the pricing of a private offering of $400 million in senior secured notes, with a 10.50% interest rate due in 2032. The notes will be guaranteed by the company's existing and future domestic subsidiaries. The company plans to use the proceeds to fund a tender offer to repurchase up to $450 million of its existing 4.25% senior notes due in 2029, cover related expenses, and manage other corporate debt. The offering is being conducted under exemptions from the Securities Act, and the notes will not be registered under the Act or state securities laws. AMC Networks is a diverse entertainment company that creates and distributes a wide range of television and film content, operates several streaming services, and includes various cable networks in its portfolio.
Potential Positives
- AMC Networks successfully priced an offering of $400 million in senior secured notes, indicating strong market interest and confidence in the company's financial strategy.
- The proceeds from the offering are intended to fund a tender offer to repurchase $450 million of existing senior notes, which could improve the company's balance sheet and reduce interest expenses.
- The offering demonstrates AMC Networks' proactive approach to manage corporate indebtedness and optimize its capital structure, aligning with fiscal responsibility and growth strategies.
- The notes are structured to be secured and guaranteed by the company’s subsidiaries, providing an additional level of security for investors and enhancing the company's financial credibility.
Potential Negatives
- The company is incurring additional debt by offering $400 million in senior secured notes, which could raise concerns about its financial stability.
- The high-interest rate of 10.50% on the senior secured notes may indicate a higher risk perception from investors, potentially affecting future borrowing costs.
- The planned use of proceeds to fund a tender offer for existing notes suggests the company may be struggling with its current debt obligations.
FAQ
What is the amount of the senior secured notes offered by AMC Networks?
AMC Networks has announced an offering of $400 million in senior secured notes.
What is the interest rate on the AMC Networks notes?
The senior secured notes have an interest rate of 10.50% due in 2032.
How will AMC Networks use the proceeds from the notes offering?
The proceeds will fund a tender offer, pay premiums, and repay corporate indebtedness.
Who can purchase AMC Networks' senior secured notes?
The notes will be offered to qualified institutional buyers under Rule 144A.
Are the notes registered under the Securities Act?
No, the notes have not been registered and cannot be sold in the U.S. without an exemption.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$AMCX Insider Trading Activity
$AMCX insiders have traded $AMCX stock on the open market 2 times in the past 6 months. Of those trades, 0 have been purchases and 2 have been sales.
Here’s a breakdown of recent trading of $AMCX stock by insiders over the last 6 months:
- F. DOLAN 2009 REVOCABLE TRUST CHARLES has made 0 purchases and 2 sales selling 175,178 shares for an estimated $1,216,237.
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$AMCX Hedge Fund Activity
We have seen 81 institutional investors add shares of $AMCX stock to their portfolio, and 129 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- RWWM, INC. added 1,156,267 shares (+74.3%) to their portfolio in Q1 2025, for an estimated $7,955,116
- GOLDENTREE ASSET MANAGEMENT LP removed 819,304 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $5,636,811
- HRT FINANCIAL LP removed 451,335 shares (-100.0%) from their portfolio in Q4 2024, for an estimated $4,468,216
- GOLDMAN SACHS GROUP INC removed 436,739 shares (-81.2%) from their portfolio in Q1 2025, for an estimated $3,004,764
- PACER ADVISORS, INC. added 414,710 shares (+inf%) to their portfolio in Q1 2025, for an estimated $2,853,204
- EXODUSPOINT CAPITAL MANAGEMENT, LP removed 395,415 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $2,720,455
- RENAISSANCE TECHNOLOGIES LLC removed 346,922 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $2,386,823
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
NEW YORK, June 18, 2025 (GLOBE NEWSWIRE) -- AMC Networks Inc. (“AMC Networks” or the “Company”) (Nasdaq: AMCX) today announced that it has priced an offering of $400 million aggregate principal amount of 10.50% senior secured notes due 2032 (the “Notes”) in a private offering.
The Notes will be unconditionally guaranteed, on a joint and several basis, by each of AMC Networks’ existing and future domestic subsidiaries, subject to certain exceptions, on a senior secured basis.
AMC Networks expects to use the net proceeds from the offering of the Notes, together with cash on hand or other immediately available funds, to (i) fund its tender offer (the “Tender Offer”) to purchase for cash up to $450,000,000 aggregate principal amount of its outstanding 4.25% Senior Notes due 2029, (ii) pay related premiums, fees and expenses incurred in connection with the offering of the Notes and the Tender Offer, and (iii) repurchase or repay other corporate indebtedness.
AMC Networks is offering the Notes (and the related guarantees) pursuant to an exemption under the Securities Act of 1933, as amended (the “Securities Act”). The initial purchasers of the Notes will offer the Notes only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act or outside the United States to certain persons in reliance on Regulation S under the Securities Act. The Notes have not been and will not be registered under the Securities Act or under any state securities laws. Therefore, the Notes may not be offered or sold within the United States to, or for the account or benefit of, any United States person unless the offer or sale would qualify for a registration exemption from the Securities Act and applicable state securities laws.
This press release shall not constitute an offer to sell, the solicitation of an offer to buy or a notice of redemption for any securities nor will there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.
About AMC Networks
AMC Networks (Nasdaq: AMCX) is home to many of the greatest stories and characters in TV and film and the premier destination for passionate and engaged fan communities around the world. The Company creates and curates celebrated series and films across distinct brands and makes them available to audiences everywhere. Its portfolio includes targeted streaming services AMC+, Acorn TV, Shudder, Sundance Now, ALLBLK and HIDIVE; cable networks AMC, BBC AMERICA (which includes U.S. distribution and sales responsibilities for BBC News), IFC, SundanceTV and We TV; and film distribution labels Independent Film Company and RLJE Films. The Company also operates AMC Studios, its in-house studio, production and distribution operation behind acclaimed and fan-favorite original franchises including The Walking Dead Universe and the Anne Rice Immortal Universe; and AMC Networks International, its international programming business.
Forward-Looking Statements
This press release may contain statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements concerning the timing, terms and completion of the offering of the Notes, the anticipated use of proceeds from the offering of the Notes and the timing, terms and completion of the Tender Offer. Investors are cautioned that any such forward-looking statements are not guarantees of future performance or results and involve risks and uncertainties, and that actual results, developments or events may differ materially from those in the forward-looking statements as a result of various factors, including financial community perceptions of the Company and its business, operations, financial condition and the industries in which it operates and the factors described in the Company’s filings with the Securities and Exchange Commission, including the sections titled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” contained therein. The Company disclaims any obligation to update any forward-looking statements contained herein.
Contacts
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Investor Relations
Nicholas Seibert [email protected] |
Corporate Communications
Georgia Juvelis [email protected] |
