Sinclair Broadcast Group has taken another step to tackle its debt by authorizing a second share buyback plan.
The Sinclair TV parent’s Board of Directors approved of a new $150 million share repurchase authorization yesterday.
The new authorization will be tapped once its current authorization is exhausted.
Sinclair has $58 million remaining capacity in its current authorization.
Pursuant to the authorization, Sinclair can repurchase Class A Common Shares in the open market, or through private transactions.
The share repurchase plan comes after Sinclair TV on August 31 closed its private debt offering of $400 million as part of a rollover.
Sinclair TV will use the proceeds of the sale of 5.125% senior unsecured notes due 2027 to redeem its 6.375% senior unsecured notes due 2021.
The company says the 5.125% Notes were priced at 100% of their par value and will bear interest at a rate of 5.125% per annum, payable on February 15 and August 15 of each year, starting in 2017.
There is $350 million in principal in the notes due 2021. Following a total redemption valued at $377.2 million, the remaining $22.8 million will go to general purposes.