"Netflix Inc. refinanced part of a $59 billion bridge loan with cheaper and longer-term debt, bolstering the financial package underpinning its bid for Warner Bros. Discovery Inc. The streaming giant got a $5 billion revolving credit facility and two $10 billion delayed-draw term loans to refinance part of the bridge facility it took out for its Warner Bros. bid, according to a filing on Monday. That leaves $34 billion for syndication."
"The rival bids entail multibillion-dollar debt deals that rank among the largest in the past decade. Warner Bros. last week advised its shareholders to reject the Paramount bid in favor of its original agreement with Netflix. Warner Bros. described Paramount's offer, which includes $54 billion in debt commitments, as inferior and inadequate, and said the deal's financing was too risky."
Netflix refinanced part of a $59 billion bridge loan, securing a $5 billion revolving credit facility and two $10 billion delayed-draw term loans, leaving $34 billion for syndication. Netflix agreed to a deal valuing Warner Bros.' studio and streaming assets at $82.7 billion. Paramount Skydance launched a hostile takeover offer for all of Warner Bros., triggering a bidding war. The rival bids involve multibillion-dollar debt deals among the largest in the past decade. Warner Bros. urged shareholders to reject the Paramount offer, calling its financing risky and its terms inferior. Netflix has board support but faces regulatory and political hurdles. Bridge loans plug immediate financing gaps and are typically replaced by cheaper, longer-term debt; banks have fiercely competed amid quiet credit markets.
Read at www.mercurynews.com
Unable to calculate read time
Collection
[
|
...
]