Milbank LLP advised an ad hoc group of senior lenders to Sinclair Broadcast Group in connection with a comprehensive agreement to support the recapitalization and refinancing of more than $4.25 billion of the company’s funded third-party indebtedness. The transactions, supported by creditors representing approximately 80% of the company’s secured debt, will include a refinancing of the company’s 2026 term loan at par, a $1.4 billion new-money superpriority secured financing backstopped by a $1.175 billion new-money superpriority secured facility from certain members of the ad hoc group, and refinancings and/or extensions of certain of the company’s other debt instruments. The transactions, when closed later this quarter, will enhance the company’s capital structure while providing creditors with significantly improved economics and covenant protections as compared to the existing documents.
Sinclair Broadcast Group (NASDAQ: SBGI) is a diversified media company and a leading provider of local news and sports. The company owns and operates the second-largest portfolio of television stations in the United States and is the largest owner of stations affiliated with Fox, NBC, CBS and ABC.
The Milbank team, comprising of attorneys based in the firm’s New York office, was led by Financial Restructuring partners Evan Fleck and Matthew Brod and associate Tom St. Henry; Alternative Investments partner Lawrence Wee and associates James Eland, Brandon Auerbach, Jennifer Fegley, Robertson McAnulty, Eleen Zhou, and law clerk Ria Melhotra; Tax partner Russell Kestenbaum and associate Mendy Fox; Corporate Finance and Securities partner Paul Denaro; and Structured Credit partner Sean Solis.
