Bulletin
Investor Alert

Market Pulse Archives

Nov. 17, 2020, 12:21 p.m. EST

USA Today parent Gannett's stock soars after upbeat outlook, refinancing of high-yielding debt

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    Gannett Co. Inc. (GCI)
  • X
    S&P 500 Index (SPX)

or Cancel Already have a watchlist? Log In

By Tomi Kilgore

Shares of USA Today-parent Gannett Co. Inc. /zigman2/quotes/202050177/composite GCI +1.32% soared 23.0% toward a five-month high in midday trading Tuesday, after the media and marketing company provided an upbeat outlook for the fourth quarter, and announced the refinancing high-yielding debt. Chief Executive Michael Reed said in a release that as Gannett improves its capital structure with the refinancing, "we are also seeing continued improvement in our revenue trends, which we expect will drive strong fourth-quarter results." The company said it refinanced $500 million of its 11.5% term loan that matures in 2024, with 6.0% convertible notes due in 2027. That reduces the outstanding term loan to $1.118 billion. In comparison, three-year Treasury notes yielded 0.24% at Monday's close . Reed said the refinancing reduces annual interest expenses by about $28 million. Gannett's stock has tumbled 66.5% year to date, while the S&P 500 /zigman2/quotes/210599714/realtime SPX +0.34% has gained 12.0%.

/zigman2/quotes/202050177/composite
US : U.S.: NYSE
$ 6.14
+0.08 +1.32%
Volume: 589,499
Oct. 18, 2021 4:00p
P/E Ratio
N/A
Dividend Yield
0.00%
Market Cap
$863.59 million
Rev. per Employee
$188,159
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
4,486.46
+15.09 +0.34%
Volume: 1.87B
Oct. 18, 2021 5:05p
loading...

This Story has 0 Comments
Be the first to comment
More News In
Industries

Story Conversation

Commenting FAQs »

Partner Center

Link to MarketWatch's Slice.