Independent News & Media is considering a “deeply discounted” rights issue in order to repay some of its €200 million (£169 million) bond.
The owner of the
Independent, Independent on Sunday and
Belfast Telegraph, said that it will extend the Friday deadline its €200 million bond until 24 July.
In a statement to the Irish stock exchange, INM said: “While the outcome of these discussions remains uncertain at this time, recent discussions have shown a willingness on the part of the stakeholders to reach a consensual solution.
“As part of these discussions, the company has put forward a comprehensive refinancing proposal – while not yet agreed by any stakeholder – which will require all stakeholders making some necessary material concessions in order to achieve significant deleveraging for INM.”
It added: “One element of this proposal involves INM seeking to raise some capital, subject to shareholder approval, by way of a deeply discounted rights offering in order to partly repay the bonds.”
A report in today’s Times says that this would involve the company giving bondholders half the cash now and the outstanding balance later.
