Stingray Successfully Completes Long Term Refinancing with a $500M Revolving Credit Facility, Enhancing Financial Flexibility
MONTREAL, Dec. 09, 2024 — Stingray Group Inc. (TSX: RAY.A; RAY.B), a leader in music and video content distribution, has announced the completion of a significant refinancing of its credit facility. The newly arranged credit facility now totals $500 million, marking an increase of $80 million from its previous agreement. This financial move extends the maturity date to December 2028, enhancing the company's financial flexibility.
The refinancing allows Stingray to seek additional commitments of up to $100 million, depending on predetermined conditions. This capability not only strengthens the company’s liquidity but also provides it with greater options for operational purposes and future mergers and acquisitions (M&A).
Eric Boyko, President, Co-founder, and CEO of Stingray, expressed satisfaction regarding the confirmed support from their banking partners, stating, “We are delighted to have the ongoing support from our current banking syndicate and partners as we explore growth opportunities. This new financing greatly enhances our current liquidity and provides optionality for additional commitments as we continue to evaluate and capitalize on market opportunities.”
The credit facility is being provided by a consortium of banks, with National Bank Financial Markets acting as Co-Lead Arranger and Sole Bookrunner. Other partners in this arrangement include BMO Capital Markets and Fédération des Caisses Desjardins du Québec, alongside contributions from Royal Bank of Canada, Canadian Imperial Bank of Commerce, The Toronto-Dominion Bank, The Bank of Nova Scotia, and Business Development Bank of Canada.
Stingray Group Inc. is recognized as a global player in the music and media industry, offering a variety of services including TV broadcasting, radio, and advertising. Their business model integrates music solutions that cater to enterprise brands across the globe. Stingray also operates a robust advertising network that delivers audio messaging to thousands of retail locations.
This financial restructuring positions Stingray for continued growth and empowers the company to seize potential market opportunities effectively.
Stingray, refinancing, credit