OUTFRONT Media Inc. (NYSE:OUT) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01
| Entry into a Material Definitive Agreement. |
On March 16, 2017, OUTFRONT Media Inc. (the Company), along with
its wholly owned subsidiaries, Outfront Media Capital LLC
(Finance LLC) and Outfront Media Capital Corporation (together
with Finance LLC, the Borrowers), and the other guarantors party
thereto, entered into an amendment (the Amendment) to its credit
agreement and its related security agreement, each dated as of
January 31, 2014 (together, and as amended, supplemented or
otherwise modified, the Credit Agreement), with Morgan Stanley
Senior Funding, Inc., as successor administrative agent and
collateral agent to Citibank, N.A., and the other lenders party
thereto from time to time, as applicable.
The Amendment provides for (i) the extension of the maturity date
of the Borrowers existing revolving credit facility (the
Revolving Credit Facility) from January 31, 2019 to March 16,
2022, (ii) the extension of the maturity date of the Borrowers
existing term loan (the Term Loan) from January 31, 2021 to March
16, 2024, (iii) an increase to the Revolving Credit Facility by
$5.0 million to $430.0 million to accommodate an orderly
allocation of loan commitments among the lenders under the Credit
Agreement, (iv) the incurrence of a $10.0 million incremental
term loan primarily to cover transaction fees and expenses, which
increases the outstanding principal balance of the Term Loan to
$670.0 million, and (v) revisions to certain provisions of the
Credit Agreement to, among other things, lower the interest rate
floor for all loans to 0.00%, and update covenants for greater
operational and financial flexibility to the Company (including
incurrence of additional indebtedness), as well as include other
clarifying, conforming and ministerial changes to the Credit
Agreement. The remaining terms of the Credit Agreement, as
amended by the Amendment, are substantially the same as the terms
under the existing Credit Agreement, including with respect to
events of default and loan acceleration.
The Revolving Credit Facility and the Term Loan are secured by
the same collateral and guaranteed by the same guarantors as
under the existing Credit Agreement, except that the existing
mortgages on the Borrowers fee-owned real property have been
released under the Amendment.
The foregoing descriptions of the Amendment and the Credit
Agreement are qualified in their entirety by reference to the
Amendment (which includes the Credit Agreement), a copy of which
is filed as Exhibit 10.1 to this Current Report on Form 8-K and
is incorporated herein by reference.
| Item 2.03 |
Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. |
The information contained in Item1.01 is incorporated herein by
reference.
| Item 9.01 | Financial Statements and Exhibits. |
(d) Exhibits. The following exhibit is filed herewith:
| Exhibit Number | Description | |
| 10.1 |
Amendment No. 2 to Credit Agreement and Amendment No. 1 to Security Agreement, dated as of March 16, 2017, by and among Outfront Media Capital LLC, Outfront Media Capital Corporation, the guarantors party thereto, Morgan Stanley Senior Funding, Inc. and the other lenders party thereto from time to time, to Credit Agreement and to Security Agreement, each dated as of January 31, 2014, by and among CBS Outdoor Americas Capital LLC, CBS Outdoor Americas Capital Corporation, the guarantors party thereto, Citibank, N.A. and the other lenders party thereto from time to time, as applicable. |
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About OUTFRONT Media Inc. (NYSE:OUT)
OUTFRONT Media Inc., formerly CBS Outdoor Americas Inc., is a provider of advertising space on out-of-home advertising structures and sites across the United States, Canada and Latin America. The Company’s inventory consists of billboard displays and transit advertising displays. It operates through two segments. The United States segment includes the Company’s operations in the United States. The International segment includes the Company’s operations in Canada and Latin America, including Mexico, Argentina, Brazil, Chile and Uruguay. Along with leasing displays, the Company provides other services to customers, such as pre-campaign category research, consumer insights, creative design support, vinyl production, and post-campaign tracking and analytics. Its locations portfolio includes sites, such as the Bay Bridge in San Francisco, various locations along Sunset Boulevard in Los Angeles, and various sites in and around both Grand Central Station and Times Square in New York. OUTFRONT Media Inc. (NYSE:OUT) Recent Trading Information
OUTFRONT Media Inc. (NYSE:OUT) closed its last trading session up +0.37 at 26.74 with 1,527,431 shares trading hands.