- Sirius XM Holdings Inc (NASDAQ: SIRI) announced its subsidiary priced an offering of $1.5 billion of 4.125% Senior Notes due 2030
Sirius XM Holdings Inc (NASDAQ: SIRI) announced that its subsidiary Sirius XM Radio Inc. has priced an offering of $1.5 billion of 4.125% Senior Notes due 2030. This represents an increase of $500 million in aggregate principal amount in the offering size of the notes. And the sale of the notes is expected to be consummated on or about June 11, 2020, subject to customary closing conditions.
These notes will be sold to persons who are 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.
And the notes will bear interest at an annual rate of 4.125%. The price for investors will be 100% of the principal amount of the notes. Sirius will receive gross proceeds of $1.5 billion from the sale of the notes before deducting the initial purchasers’ commissions and estimated offering fees and expenses.
With the net proceeds from the offering — together with cash on hand — Sirius XM will redeem all of its outstanding 5.375% Senior Notes due 2025 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 to redeem all of its outstanding 4.625% Senior Notes due 2023 at a redemption price of 100.771% of the principal amount thereof plus accrued and unpaid interest thereon to (but excluding) the redemption date.
Sirius XM Holdings Inc (NASDAQ: SIRI) is known as a leading audio entertainment company in the U.S. and the premier programmer and platform for subscription and digital advertising-supported audio products. And SiriusXM subsidiary Pandora is one of the largest ad-supported audio streaming services in the U.S. Together, SiriusXM and Pandora reach over 100 million people every month with their audio products.
