Central European Media Enterprises (CME) has completed a transaction with Time Warner to reduce, with effect as of March 1, the fees payable to the latter as credit guarantor of its current outstanding senior term credit facilities.
In a joint statement commenting on the development, Michael Del Nin and Christoph Mainusch, CME’s co-CEOs, said: “In the span of one year, we have reduced our average cost of borrowing by a remarkable 450 basis points. This transaction, which was made possible by the continued improvement in our financial and operational results, demonstrates our continued commitment to long-term equity value creation and the ongoing support of our largest shareholder. The new grid pricing, now applicable to all of our term debt, results in an immediate and significant reduction to our cost of borrowing, reduces our potential future financing costs, and maintains the current flexibility of our debt structure. These savings better position us to deliver on our plans to reduce leverage and improve the company’s financial position.”
CME is one of the leading media and entertainment companies in Central and Eastern Europe. It broadcasts a total of 36 TV channels in Bulgaria, Croatia, Czech Republic, Romania, Slovakia and Slovenia.
