|

INM confirms debt for equity deal

INM confirms debt for equity deal

inm

Independent News & Media has confirmed that discussions with lenders of a €200 million bond have advanced significantly and said it is close to securing terms that will see it swap bonds for shares.

The group released a statement following speculation that it was looking to extend its financial standstill agreement, which is due for repayment this Friday, to finalise details for a proposed debt for equity swap.

INM’s statement said bond holders will potentially swap around €110 million in debt for around 45% of the company, with the rights issue raising a further €100 million to pay the balance owing to bondholders and finance the restructure.

Despite Denis O’Brien’s recent comments that the group’s flagship title will be closed by Christmas, the restructure will see INM keep control of the Independent titles, according to reports.

O’Brien and his rival leading shareholder Anthony O’Reilly will have their stakes significantly reduced as a result of the new plans.

Media Jobs