TEGNA Inc. shares were up by nearly 4% in the final hour of trading on Tuesday, as investors largely cheered the broadcast TV company’s announcement that it intends to offer $1 billion of senior notes due 2028 in a private offering.
The offering to persons reasonably believed to be “qualified institutional buyers” will see the notes guaranteed on a senior basis by TEGNA subsidiaries.
TEGNA says it plans to use the net proceeds to redeem a portion of its outstanding senior notes and repay borrowings under its revolving credit agreement.
The billion-dollar offering did its part in bring TGNA as of 3:12pm to $16.93 per share.
That’s a penny shy of the 52-week high seen for TEGNA stock, which on Jan. 28, 2019 was at $11.28 while spending much of 2018 in the $10 range.
In fact, TEGNA shares are performing at their strongest point since November 2015.
TGNA carries a 1-year target estimate of $17.35.