Wachovia Preps Newspaper Co. Dividend Refi
GlobalCapital Securitization, is part of the Delinian Group, DELINIAN (GLOBALCAPITAL) LIMITED, 4 Bouverie Street, London, EC4Y 8AX, Registered in England & Wales, Company number 15236213
Copyright © DELINIAN (GLOBALCAPITAL) LIMITED and its affiliated companies 2024

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Wachovia Preps Newspaper Co. Dividend Refi

A bank meeting is set for the first week in January to launch a $100 million refinancing for Heritage Partners portfolio company Enterprise NewsMedia.

Michael Gilligan

A bank meeting is set for the first week in January to launch a $100 million refinancing for Heritage Partners portfolio company Enterprise NewsMedia. "We're doing that to just reschedule some of the amortization payments for the business and also to facilitate a modest distribution," said Michael Gilligan, a general partner with Heritage. The size of the dividend is not disclosed and will be a function of the actual syndication, he added. Enterprise owns 11 newspapers in the Boston area. The credit comprises a six-year, $25 million revolver and seven-and-a-half year, $75 million "B" loan. "[The credit is] similar to the amount that we used to finance the business when we recapitalized it 18 months ago," Gilligan noted. The revolver is being offered at LIBOR plus 3%, while the term loan is going out at LIBOR plus 3 1/4%.

Bank of America led the previous credit, but Wachovia Securities is leading the new deal. Gilligan said the bank was chosen through "the normal process of going through discussions with different groups and Wachovia had a very compelling proposal." He declined to comment on the other proposals. Ed Vozzella, Enterprise's senior controller, did not return calls. A B of A spokeswoman and Wachovia bankers declined comment.

Gift this article