NEW YORK, NY–(BUSINESS WIRE)–Gannett Co., Inc. (NYSE: GCI) today announced that from the beginning of the third quarter through the close of business on September 9, 2024, the Company expects to have sold approximately $13.0 million in real estate and non-strategic asset sales, including the proceeds from the sale of certain businesses. Proceeds from the asset sales are expected to be used to repay approximately $13.0 million of our five-year senior secured term loan facility.
“With these most recent asset sales, we expect to reduce our debt by $53 million year-to-date, and we believe we remain on track to repay at least $110 million for the full year. We expect to continue optimizing our real estate and non-strategic asset portfolio to further accelerate our debt reduction plan. While the sale of these businesses and the announced closure of Reviewed.com will impact total revenue starting in the third quarter of 2024, they are not expected to materially impact Adjusted EBITDA. Debt repayment remains a high priority, and we believe that our strategic actions to improve our capital structure will continue to unlock additional value for our shareholders,” said Michael Reed, Gannett Chairman and Chief Executive Officer.
The Company also provided an update on its refinancing efforts pursuant to the commitment letter announced last week. Specifically, the Company expects to announce details and commence negotiations later this month for the exchange of the Company’s 6.0% Senior Secured Convertible Notes due 2027 and its 6.0% first lien notes due November 1, 2026. The Company expects to share preliminary results from these exchange offers in October, and we anticipate closing these transactions later this fall.
About Gannett
Gannett Co., Inc. (NYSE: GCI) is a diversified media company with expansive reach at the national and local level dedicated to empowering and enriching communities. We seek to inspire, inform, and connect audiences as a sustainable, growth focused media and digital marketing solutions company. We endeavor to deliver essential content, marketing solutions, and experiences for curated audiences, advertisers, consumers, and stakeholders by leveraging our diverse teams and suite of products to enrich the local communities and businesses we serve. Our current portfolio of trusted media brands includes the USA TODAY NETWORK, comprised of the national publication, USA TODAY, and local media organizations in the United States, and Newsquest, a wholly-owned subsidiary operating in the United Kingdom. Our digital marketing solutions brand, LocaliQ, uses innovation and software to enable small and medium-sized businesses to grow, and USA TODAY NETWORK Ventures, our events division, creates impactful consumer engagements, promotions, and races.
