TORONTO, Oct. 25,
2024 /CNW/ - Corus Entertainment Inc. (TSX:
CJR.B) ("Corus" or the "Company") announced today that it has
completed an agreement to amend and restate its existing
syndicated, senior secured credit facilities with its bank group,
led by RBC Capital Markets and TD Securities, as co-leads (the
"Restated Credit Facility"). The Restated Credit Facility was
amended and restated to, among other things, reduce the total limit
on the Revolving Facility to $150
million from $300 million,
with ability for the Company to request advances up to $65 million, and increase the maximum total debt
to cash flow ratio required under the financial covenants to 5.75
through to and including December 31,
2024 and 7.25 from January 1,
2025 through to and including March
31, 2025. There continue to be requirements for the
Company to use any excess cash to repay outstanding balances on the
Revolving Facility. Certain other terms relating to the use
of proceeds on asset disposals, the ability to incur certain
indebtedness and reporting requirements have also been updated. The
maturity date for the Restated Credit Facility is now March 18, 2026.
All terms are as defined in the Restated Credit Facility.
A copy of the Restated Credit Facility will be filed under the
Company's profile on SEDAR+ at www.sedarplus.ca.
Caution Concerning Forward-Looking Information
This press release contains forward-looking information and
should be read subject to the following cautionary language:
To the extent any statements made in this press release contain
information that is not historical, these statements are
forward-looking statements and may be forward-looking information
within the meaning of applicable securities laws (collectively,
"forward-looking information"). This forward-looking information
may relate to, among other things, the Company's capital allocation
strategy, capital structure and liability management including
liquidity, leverage targets, ability to repay debt and/or
renegotiate existing debt terms, dividend policy and the payment of
future dividends; strategic plan, objectives, goals, strategies,
targets, intentions, plans, estimates and outlook, including but
not limited to anticipated actions regarding or impacts to the
Company's liquidity, leverage target, ability to repay debt and/or
renegotiate existing debt terms; the Company's strategic plan;
anticipated revenue trends; the Company's ability to manage
retention and reputation risks; the Company's ability to maintain
necessary access to loan and credit facilities; and expectations
regarding financial performance, including capital allocation,
liability management and capital structure strategy and management,
operating costs and tariffs, taxes and fees; and can generally be
identified by the use of words such as "believe", "anticipate",
"expect", "intend", "plan", "will", "may" or the negatives of these
terms and other similar expressions. In addition, any statements
that refer to expectations, projections or other characterizations
of future events or circumstances may be considered forward-looking
information.
Although Corus believes that the expectations reflected in such
forward-looking information are reasonable, such information
involves assumptions, risks and uncertainties and undue reliance
should not be placed on such statements. Certain material factors
or assumptions are applied with respect to the forward-looking
information, including without limitation, factors and assumptions
including: the impact of recessionary conditions and continuing
supply chain constraints; the potential impact of new competition
and industry mergers and acquisitions; changes to applicable tax,
licensing and regulatory regimes; inflation and interest rates,
stability of the advertising, subscription, production and
distribution markets; changes to key suppliers or clients;
operating and capital costs and tariffs, taxes and fees, the
Company's ability to source, produce or sell desirable content and
the Company's capital and operating results being consistent with
its expectations. Actual results may differ materially from those
expressed or implied in such information.
Additional information about these and other risk factors and
about the material assumptions underlying any forward-looking
information may be found under the heading "Risks and
Uncertainties" in the Company's Management's Discussion and
Analysis for the year ended August 31,
2024 and under the heading "Risk Factors" in the Company's
Annual Information Form for the year ended August 31, 2024. Corus cautions that the
foregoing list of important assumptions and factors that may affect
future results is not exhaustive. When relying on the Company's
forward-looking information to make decisions with respect to
Corus, investors and others should carefully consider the foregoing
factors and other uncertainties and potential events. Unless
otherwise specified, all forward-looking information in this
document speaks as of the date of this document and may be updated
or amended from time to time. Except as otherwise required by
applicable securities laws, Corus disclaims any intention or
obligation to publicly update or revise any forward-looking
information whether as a result of new information, events or
circumstances that arise after the date thereof or otherwise.
About Corus Entertainment Inc.
Corus Entertainment Inc. (TSX: CJR.B) is a leading media and
content company that develops and delivers high quality brands and
content across platforms for audiences around the world. Engaging
audiences since 1999, the company's portfolio of multimedia
offerings encompass 32 specialty television services, 37 radio
stations, 15 conventional television stations, digital and
streaming platforms, and social digital agency and media services.
Corus' roster of premium brands includes Global Television, W
Network, Flavour Network and Home Network (launching soon), The
HISTORY® Channel, Showcase, Adult Swim, National Geographic and
Global News, along with streaming platforms STACKTV, TELETOON+, the
Global TV App and Curiouscast. Corus is also the domestic
advertising representative and an original content partner for
Pluto TV, a Paramount Company, which is the leading free
ad-supported streaming television (FAST) service. Corus is an
internationally renowned content creator, producer and distributor
through Corus Studios and Nelvana. For more information visit
www.corusent.com.
SOURCE Corus Entertainment Inc (IR Group)