Sirius XM Radio Inc. today said it intends to offer $250 million in Senior Secured Notes due 2015 to qualified institutional buyers. The company said it will use the net proceeds to repay certain indebtedness incurred under its Credit Agreement with Liberty Media Corporation.
According to the company, the securities will not be registered under the Securities Act, or any
state securities laws, and may not be offered or sold in the United
States absent registration, except pursuant to an exemption from the
registration requirements of the Securities Act and applicable state
securities laws.
In February of this year, Sirius XM and Liberty Media reached a deal where Liberty would invest an aggregate amount of $530 million into Sirius XM, in return for an equity stake in the company. The move saved the satellite radio provider from an unsolicited takeover by Echostar, pitting three top media moguls against each other: Mel Karmazin (pictured, right), John C. Malone (picture, left) and EchoStar's Charlie Ergen. Ultimately, Malone ermerged as the white knight and saved Sirius XM from an unknown fate.
In February of this year, Sirius XM and Liberty Media reached a deal where Liberty would invest an aggregate amount of $530 million into Sirius XM, in return for an equity stake in the company. The move saved the satellite radio provider from an unsolicited takeover by Echostar, pitting three top media moguls against each other: Mel Karmazin (pictured, right), John C. Malone (picture, left) and EchoStar's Charlie Ergen. Ultimately, Malone ermerged as the white knight and saved Sirius XM from an unknown fate.
They are so fucked .
This can only be viewed as positive news. After so many years, they pieces are starting to all fit together. Go Mel!!
Red dragons!
"positive news"? HA! Water down the stockholders worth even more, way to go Melvin! siriusxm, sirius, xm have never made a dime and every year the debt goes higher and higher. Besides only a newb and sucker institutional buyer would take Melvin's offering of Senior Secured Notes due 2015. We all know what those investors stupid enough to invest in Melvin's newest scheme will get in 2015, like those before them... Nothing, Zero.
John Malone wants his money back that he gave Melvin, Malone knew there was no chance of Melvin ever being able to turn siriusxm around to pay him back. John Malone must have needed the Melvin donation to be a loss for his taxes, at the time Malone had no clue that it would be a complete loss.
It's time to put a fork in it since this turkey better known as siriusxm is done.
Obvious to anyone who has some smarts that this is a refinance of existing debt to lower interest payments--(and extending maturity)
Sounds like the credit markets are slowly thawing and Sirius taking advantage of that to lower costs--This should continue over the next year or two as more fav terms means lower expenses--like refinancing a mortgage
On the other hand:
SIRI
0.53 +0.02 (4.81%) Aug 13 1:12pm ET
GOOD NEWS!!! There is finally a great new movie out about Sirius XM, market manipulation, and short selling called: "Stock Shock." For those of us that want to understand some of the inner workings of the market, it is a must-see. Very easy to understand and entertaining. Amazon has it or stockshockmovie.com has a trailer.
SIRI - Sirius XM Radio Inc. (NASDAQ)
0.54 +0.03 (5.09%) Aug 13 1:18pm ET
Volume: 45,648,523
Wow 53 cents a share ! such a shitty company
It's been about 32 years since I took "Principles of Finance 101" in college(squeezed out a B and that's only because I was dating an accountant with GREAT legs at the time;there I go digressing again.......). So I had to refresh myself on this subject. So here goes(if nothing else to reeducate myself and maybe others...)
"Senior debt frequently issued in the form of a "SENIOR NOTE" is debt that takes priority over other unsecured debt owed by the issuer (i.e."'ol Mel"). Senior debt has greater seniority in the issuer's capital structure than subordinated debt. In the event the issuer (again, that'd be "'ol Mel")goes BANKRUPT senior debt theoretically must be repaid before other creditors receive any payment. Senior debt is often secured by collateral(in this case SiriusFM??)on which the lender(Mr. Malone??) has put in place a first lien. Usually this covers all assets of the corporation (SiriusFM??) and is often used for revolving credit lines (such as paying more for fucked up programming???). It is the DEBT that has priority for REPAYMENT in a LIQUIDATION."
One could surmise that Malone is hedging his bets in case SiriusFM goes belly up and has "'ol Mel" where he wants him. In their world, nobody gets NOTHING unless strings are attached.
My thanks to "Wikepedia" for refreshing this old brain.
sirius upgraded by s&p $257 million placed at 9.75%
I haven't been following the news lately, but wasn't there a clause in the Liberty Media deal which allowed Sirius to back out of the deal if Sirius was able to repay the loan in a certain amount of time? Or is the deal done and Mel actually gave away 40% of the company just for a loan that Sirius has to repay with interest?
Melvin thinks Senior Secured Notes = old, decrepit, bedraggled, broken-down, decaying, delicate dilapidated, dingy, down-at-heel, faded, feeble flimsy, fragile, frail, infirm, insubstantial, mangy, puny, ratty, rundown. It'll be a race to the finish to see which is gone first the Senior Secured Notes, siriusfm, or Melvin or all of them.
Tristan,
i thought i read that too that it was by end of dec 2009 that we could repay them back and might not even have to give them the preferred stock if we paid it back in full--Im not sure of details but i remember reading we had a total out by end of year--Anyone have details?
"WE"? "THEM"?
Step away from the siriusfm, Melvin has you completely brainwashed and under his direct newb and sucker control. The dummer the subscriber the happy Melvin is