Starz, LLC Prices $175 Million of New Senior Notes
ENGLEWOOD, Colo., Feb. 5, 2013
ENGLEWOOD, Colo., Feb. 5, 2013 /PRNewswire/ -- Starz, LLC, a wholly-owned
subsidiary of Starz (Nasdaq: STRZA, STRZB), along with a subsidiary Co-Issuer,
(collectively the "Co-Issuers") announced today that they have priced $175
million in aggregate principal amount of senior notes due 2019 (the "Notes"),
reflecting an increase of $25 million over the initial offering. The Notes
are issued as additional notes under the indenture governing the Co-Issuers'
existing $500 million 5.00% Senior Notes due 2019 ("existing 5% senior notes")
and have identicalterms to, and will be treated as a single class with, the
existing 5% senior notes. The net proceeds from the offering will be used to
repay indebtedness under Starz, LLC's existing senior secured credit facility
and for general corporate purposes. The offering is expected to close on or
about February 8, 2013, subject to customary closing conditions.
The Co-Issuers will make the offering pursuant to an exemption under the
Securities Act of 1933, as amended (the "Securities Act"). The initial
purchasers will offer the Notes only to Qualified Institutional Buyers as
permitted under Rule 144A of the Securities Act. The Notes will not be
registered under the Securities Act or the securities laws of any other
jurisdiction and may not be offered or sold in the United States absent
registration or an applicable exemption from the registration requirements of
the Securities Act.
In connection with the offering of the Notes, the Co-Issuers will agree,
subject to certain conditions, to file a registration statement relating to a
registered offering to exchange the Notes for new registered notes having
substantially identical terms as the Notes.
This press release is for informational purposes only and shall not constitute
an offer to sell or the solicitation of an offer to buy the offered Notes, nor
shall there be any sales of Notes in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
under the securities laws of any such jurisdiction.
This press release includes certain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995, including
without limitation, statements about the completion of the offering, the use
of proceeds from the offering and the exchange of notes for registered notes.
These forward-looking statements involve many risks and uncertainties that
could cause actual results to differ materially from those expressed or
implied by such statements, including, without limitation, general market
conditions and our ability to complete the notes offering and the registered
exchange offer. These forward looking statements speak only as of the date of
this press release, and Starz expressly disclaims any obligation or
undertaking to disseminate any updates or revisions to any forward-looking
statement contained herein to reflect any change in Starz' expectations with
regard thereto or any change in events, conditions or circumstances on which
any such statement is based. Please refer to the publicly filed documents of
Starz for additional information about Starz and about the risks and
uncertainties related to Starz' business which may affect the statements made
in this press release.
Starz (NASDAQ: STRZA, STRZB) is a leading integrated global media and
entertainment company with operating units that provide premium subscription
video programming on domestic U.S. pay television channels (Starz Networks),
global content distribution (Starz Distribution) and animated television and
movie production (Starz Animation), 2.
Starz Networks is a leading provider of premium subscription video programming
through the flagship STARZ® and ENCORE® pay TV networks which showcase premium
original programming and movies to U.S. multichannel video distributors,
including cable operators, satellite television providers, and
telecommunications companies. As of September 30, 2012, STARZ and ENCORE
serve a combined 55 million subscribers, including 21 million at STARZ, and 34
million at ENCORE, making them the largest pair of premium flagship channels
in the U.S. STARZ® and ENCORE®, along with Starz Networks' third flagship
brand, MOVIEPLEX®, air more than 1,000 movies monthly across 17 linear
networks, complemented by On Demand and authenticated online offerings through
STARZ PLAY, ENCORE PLAY, and MOVIEPLEX PLAY. Starz Distribution develops,
produces and acquires entertainment content, distributing it to consumers
globally on DVD, digital formats and traditional television. Starz
Distribution's home video, digital media and worldwide distribution business
units distribute original programming content produced by Starz, as well as
entertainment content for itself and third parties. Starz Animation produces
animated TV and movie content for studios, networks, distributors and
Starz Investor Relations
SOURCE Starz, LLC
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