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Gogo Inc. Announces Launch of $20 Million Senior Secured Notes Offering
CHICAGO, May 3, 2019 /PRNewswire/ -- Gogo Inc. (NASDAQ: GOGO) announced the commencement of a private offering of $20 million aggregate principal amount of
About this update from Gogo Inc.
[{"type":"text","content":"CHICAGO, May 3, 2019 /PRNewswire/ -- Gogo Inc. (NASDAQ: GOGO) announced the commencement of a private offering of $20 million aggregate principal amount of additional 9.875% senior secured notes due 2024 (the \"Additional Notes\") to be issued by its direct wholly owned subsidiary, Gogo Intermediate Holdings LLC (\"Holdings LLC\"), and its indirect wholly owned subsidiary, Gogo Finance Co. Inc. (the \"Co-Issuer\" and, together with Holdings LLC, the \"Issuers\"). The initial 9.875% Senior Secured Notes due 2024 were issued in an aggregate principal amount of $905 million on April 25, 2019 (the \"Initial Notes\" and together with the Additional Notes, the \"Notes\"). On May 3, 2019, the Issuers obtained the consent of the majority of the holders of the Initial Notes (excluding Initial Notes held by the Issuers or any affiliates of the Issuers) to amend the indenture that governs the Initial Notes to increase the amount of indebtedness under Credit Facilities (as defined in the indenture) that may be incurred by $20 million. The Additional Notes and the Initial Notes will be treated as the same series for all purposes under the indenture and collateral agreements that govern the Initial Notes and will govern the Additional Notes. The Additional Notes will be guaranteed on a senior secured basis by Gogo Inc. and all of Holdings LLC's existing and future restricted subsidiaries (other than the Co-Issuer), subject to certain exceptions (collectively, the \"Guarantors\"). The Additional Notes and the related guarantees will be secured by first-priority liens (subject to certain exceptions) on substantially all of the Issuers' and the Guarantors' assets, including pledged equity interests of the Issuers and (subject to certain exceptions) all of Holdings LLC's existing and future restricted subsidiaries guaranteeing the Notes, except for certain excluded assets and subject to permitted liens. There can be no assurance that the proposed offering of Additional Notes will be completed.\nThe Issuers intend to use the net proceeds from the sale of the Additional Notes for general corporate purposes.\nThe Additional Notes and the guarantees will be offered in a private offering exempt from the registration requirements of the United States Securities Act of 1933, as amended (the \"Securities Act\"). The Additional Notes and the guarantees wi...