LOS ANGELES (CelebrityAccess) – Live Nation Entertainment, Inc. has today (Oct. 2) announced that it intends to offer, subject to market and other conditions, $950 million in aggregate principal amount of its senior notes due 2027 (the “Senior Notes”).
Concurrently with the issuance of the Senior Notes, the company intends to enter into an amendment to its existing senior secured credit facility (the “new senior secured credit facility”). The company intends to use the net proceeds from this offering, together with borrowings under its new senior secured credit facility, to redeem all of its existing 5.375% senior notes due 2022, to repay in full borrowings under its existing senior secured credit facility, to pay related fees and expenses and for general corporate purposes, including acquisitions.
According to a release, the Senior Notes will be guaranteed by certain of the company’s existing and future domestic subsidiaries and will be senior unsecured obligations of the company. The Senior Notes are expected to mature in 2027. The completion of the Senior Notes offering is not conditioned upon the company’s entry into the new senior secured credit facility.
The Senior Notes will be offered through a private placement and will not be registered under the Securities Act of 1933, as amended (the “Securities Act”), or any state securities laws. As a result, the Senior Notes may not be offered or sold in the United States or to any “U.S. persons” except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act. Accordingly, the Senior Notes will be offered only to “qualified institutional buyers” under Rule 144A of the Securities Act and, outside the United States, to persons other than “U.S. persons” in compliance with Regulation S under the Securities Act.