Speedway Motorsports Plans $350 Million of Loans After Bond Sale

Speedway Motorsports Inc. (TRK), an owner and operator of NASCAR racetracks, is in talks with lenders for as much as $350 million of loans to replace debt.

The financing would include a $250 million term loan and $100 million revolving credit line maturing in five years, the Concord, North Carolina-based company said today in a regulatory filing.

Standard & Poor’s ranked the proposed credit BBB-, the lowest investment grade, while keeping Speedway’s corporate rating at BB with a stable outlook.

The pact with lenders would have a so-called accordion feature allowing the company to borrow an additional $100 million, according to the filing.

The company, whose racetracks include the Kentucky Speedway, is also offering $100 million of 6.75 percent notes, due in 2019, to pay down $95 million of outstanding credit. The new loans it is seeking would follow the note sale, the company said in the filing.

To contact the reporter on this story: Christine Idzelis in New York at cidzelis@bloomberg.net

To contact the editor responsible for this story: Faris Khan at fkhan33@bloomberg.net

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.