Business
Sirius XM Radio Inc. Prices Offering of $1.0 Billion of 3.125% Senior Notes Due 2026 and $1.5 Billion of 3.875% Senior Notes Due 2031
NEW YORK, Aug. 2, 2021 /PRNewswire/ -- SiriusXM announced today that its subsidiary, Sirius XM Radio Inc., priced an offering of $1.0 billion of 3.125% Senior
About this update from Siriusxm Holdings Inc.
[{"type":"text","content":"NEW YORK, Aug. 2, 2021 /PRNewswire/ -- SiriusXM announced today that its subsidiary, Sirius XM Radio Inc., priced an offering of $1.0 billion of 3.125% Senior Notes due 2026 (the \"2026 Notes\") and $1.5 billion of 3.875% Senior Notes due 2031 (the \"2031 Notes\" and together with the 2026 Notes, the \"Notes\"). This represents an increase of $250 million in aggregate principal amount in the offering size of the 2026 Notes and $250 million in aggregate principal amount in the offering size of the 2031 Notes. The sale of the Notes is expected to be consummated on or about August 16, 2021, subject to customary closing conditions.\nThe Notes are to be sold to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended, and non-U.S. persons outside the United States in compliance with Regulation S of the Securities Act. \nThe 2026 Notes will bear interest at an annual rate of 3.125% and the 2031 Notes will bear interest at an annual rate of 3.875%. The price to investors will be 100% of the principal amount of the relevant series of Notes. The company will receive gross proceeds of $2.5 billion from the sale of the Notes before deducting the initial purchasers' commissions and estimated offering fees and expenses.\nThe company intends to use the net proceeds from the offering of the Notes, together with cash on hand and borrowings under its senior secured credit facility, to redeem all $1.0 billion of its outstanding 5.375% Senior Notes due 2026 at a redemption price of 102.688% of the principal amount thereof plus accrued and unpaid interest thereon to, but excluding, the redemption date and all $1.5 billion of its outstanding 4.625% Senior Notes due 2024 at a redemption price of 102.313% of the principal amount thereof plus accrued and unpaid interest thereon to, but excluding, the redemption date. \nThe securities have not been and will not be registered under the Securities Act, or any state securities laws, and may not be offered or sold in the United States absent registration, except pursuant to an exemption from the registration requirements of the Securities Act and applicable state securities laws.\nThis announcement is neither an offer to sell nor a solicitation of an offer to buy any of these securities, and shall not constitute an offer, solicitatio...