Lee arranges $576 million debt deal; Hunt & Sons eyes credit facility

By Devika Patel

Knoxville, Tenn., Jan. 29 – Wednesday saw two private placements announced.

Davenport, Iowa-based Lee Enterprises, Inc., a newspaper publisher, negotiated an approximately $576 million long-term debt financing, and Sacramento, Calif.-based Hunt & Sons, Inc., which specializes in commercial fleet fueling services, bulk fuel supply and comprehensive lubricant solutions for industrial, commercial and agricultural use, reported that it has secured $75 million through an asset-backed credit facility.

Lee gets $576 million

Lee Enterprises will fund its $140 million acquisition of BH Media Group’s publications and The Buffalo News with a long-term debt financing of approximately $576 million from Berkshire Hathaway.

The debt has a 9% coupon and matures in 25 years.

With a stronger growth profile and a more flexible balance sheet, Lee will be able to de-lever more quickly over the long term; Lee will continue to prioritize deleveraging, including strategically monetizing noncore assets, according to a company release.

Hunt & Sons: $75 million

Hunt & Sons said it has arranged a $75 million asset-backed credit facility with White Oak ABL, LLC. Further details were not available as of Wednesday.

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