Moody's rates Cumulus Media loans Ba3

Moody's Investors Service said it assigned Ba3 ratings to Cumulus Media's $75 million senior secured term loan F and $75 million increase to its existing revolving credit facility.

Proceeds from this transaction may be used to finance Cumulus' $100 million share repurchase program. Moody's also assigned Ba3 ratings to $415 million in senior secured term loans. Moody's affirmed all existing ratings and changed the outlook to positive.

Moody's affirmed Cumulus' Ba3 rated $106.9 million revolving credit facility and senior implied rating and B2 senior unsecured issuer rating.

Moody's said the ratings reflect Cumulus' strengthening balance sheet and interest coverage, as well as improving margins, and the positive outlook specifically incorporates the ratings agency's belief that the company now produces sufficient free cash flow to quickly reduce any incremental leverage taken on to finance potential share repurchases and/or acquisitions.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.