Townsquare Media Secures $490 Million Credit Agreement

RADIO ONLINE | Monday, February 24, 2025 | 3:50pm CT

Townsquare Media

Townsquare Media has entered into a $490 million credit agreement with Bank of America, N.A., the company announced in an 8-K regulatory filing. The new financing arrangement includes a five-year, $470 million senior secured term loan facility and a $20 million senior secured revolving credit facility.

The company used approximately $453 million in net proceeds from the financing, combined with cash on hand, to redeem all of its outstanding 6.875% senior secured notes due 2026. The redemption took place on February 19, 2025, effectively eliminating the previous debt obligation under the indenture agreement dated January 6, 2021.

The agreement includes customary financial covenants restricting the company's ability to incur additional debt, pay dividends, or sell assets. It also includes standard events of default, such as nonpayment, covenant violations, bankruptcy, and change of control provisions.

Townsquare Media noted that it may engage lenders from the credit agreement for additional financial services in the future. This transaction allows Townsquare Media to refinance its existing debt while securing long-term financial flexibility as it continues its operations in local media, digital marketing, and entertainment.