ASCENT CAPITAL GROUP,INC. (NASDAQ:ASCMA) Files An 8-K Regulation FD DisclosureItem 7.01. Regulation FD Disclosure.
Ascent Capital Group, Inc. (“Ascent”) and Monitronics International, Inc., a wholly-owned subsidiary of Ascent (the “Company”), at the request of a group of holders (the “Noteholders”) of the Company’s 9.125% Senior Notes due 2020 (the “Senior Notes”), entered into confidential discussions with the Noteholders and their legal and financial advisors regarding a potential liability management transaction involving an extension of the maturity of the Senior Notes (a “Transaction”). Ascent and the Company agreed to engage in such discussions and exchange proposals for a limited period of time. However, the parties have not reached an agreement with respect to the material terms of the proposed Transaction at this time and such discussions are no longer ongoing.
Ascent and the Company proposed a Transaction that included an exchange of Senior Notes for new senior unsecured notes of the Company, or for new senior unsecured notes with a partial cash payment, but the Noteholders were unwilling to agree to a Transaction on terms that Ascent and the Company consider feasible.
The Noteholders proposed a Transaction involving, among other things, an exchange of Senior Notes for new second lien notes of the Company. Such an exchange would require an amendment of the Company’s existing senior secured credit agreement. Ascent and the Company were unwilling to agree to a Transaction on the terms proposed by the Noteholders.
The information included in this Form 8-K under Item 7.01 is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to liabilities of that Section, unless the registrant specifically states that the information is to be considered “filed” under the Exchange Act or incorporates it by reference into a filing under the Exchange Act or the Securities Act of 1933, as amended.
About ASCENT CAPITAL GROUP,INC. (NASDAQ:ASCMA)
Ascent Capital Group, Inc. is a holding company. The Company’s segments include Monitronics, LiveWatch and Other Activities. The Company’s subsidiaries include Monitronics International, Inc. (Monitronics) and LiveWatch Security, LLC (LiveWatch). Monitronics provides a range of residential security services, including hands-free two-way interactive voice communication with the monitoring center, cellular options, and an interactive service option, which allows the customer to control their security system remotely using a computer or smart phone. Monitronics performs monitoring services for subscribers located in all 50 states, the District of Columbia, Puerto Rico and Canada. LiveWatch is a do-it-yourself (DIY) home security provider offering professionally monitored security services through a direct-to-consumer sales channel. LiveWatch offers a differentiated go-to-market strategy through direct response television, Internet and radio advertising.