Gannett Announces Additional Debt Reduction
Gannett Co. (NYSE: GCI) has announced a significant debt reduction, prepaying approximately $57.5 million on its 2029 Term Loan Facility during Q1 2025. This move reduced the company's first lien debt from $850.0 million to $792.5 million. The debt repayment was funded through the sale of the Austin-American Statesmen and cash reserves.
The company expects to repay over $100 million of debt in 2025 through asset sales and free cash flow growth. Management anticipates achieving a first lien net leverage approaching 2.0x by year-end, supported by expected growth in Adjusted EBITDA.
Gannett Co. (NYSE: GCI) ha annunciato una significativa riduzione del debito, prepagando circa 57,5 milioni di dollari sul suo Prestito Term Loan 2029 durante il primo trimestre del 2025. Questa mossa ha ridotto il debito di primo grado dell'azienda da 850,0 milioni di dollari a 792,5 milioni di dollari. Il rimborso del debito è stato finanziato attraverso la vendita dell'Austin-American Statesman e riserve di cassa.
L'azienda prevede di rimborsare oltre 100 milioni di dollari di debito nel 2025 attraverso vendite di asset e crescita del flusso di cassa libero. La direzione si aspetta di raggiungere un leverage netto di primo grado vicino a 2,0x entro la fine dell'anno, supportato dalla crescita prevista dell'EBITDA rettificato.
Gannett Co. (NYSE: GCI) ha anunciado una reducción significativa de la deuda, prepagando aproximadamente 57,5 millones de dólares en su Instalación de Préstamo a Plazo 2029 durante el primer trimestre de 2025. Este movimiento redujo la deuda de primer gravamen de la compañía de 850,0 millones de dólares a 792,5 millones de dólares. El pago de la deuda se financió a través de la venta del Austin-American Statesman y reservas de efectivo.
La empresa espera pagar más de 100 millones de dólares de deuda en 2025 a través de ventas de activos y crecimiento del flujo de caja libre. La dirección anticipa alcanzar un apalancamiento neto de primer gravamen cercano a 2,0x para fin de año, respaldado por el crecimiento esperado del EBITDA ajustado.
Gannett Co. (NYSE: GCI)는 2025년 1분기 동안 2029년 만기 대출 시설에 대해 약 5,750만 달러를 선지급하여 상당한 채무 감소를 발표했습니다. 이 조치로 회사의 1순위 채무는 8억 5천만 달러에서 7억 9천 250만 달러로 줄어들었습니다. 채무 상환은 오스틴-아메리칸 스테이츠맨의 매각과 현금 보유를 통해 자금을 조달했습니다.
회사는 2025년 동안 자산 매각과 자유 현금 흐름 증가를 통해 1억 달러 이상의 채무를 상환할 것으로 예상하고 있습니다. 경영진은 조정된 EBITDA의 예상 성장에 힘입어 연말까지 2.0배에 가까운 1순위 순레버리지를 달성할 것으로 기대하고 있습니다.
Gannett Co. (NYSE: GCI) a annoncé une réduction significative de sa dette, en prépayant environ 57,5 millions de dollars sur son Prêt à Terme 2029 au cours du premier trimestre 2025. Cette opération a réduit la dette de premier rang de l'entreprise de 850,0 millions de dollars à 792,5 millions de dollars. Le remboursement de la dette a été financé par la vente de l'Austin-American Statesman et des réserves de liquidités.
L'entreprise s'attend à rembourser plus de 100 millions de dollars de dette en 2025 grâce à des ventes d'actifs et à la croissance du flux de trésorerie libre. La direction prévoit d'atteindre un levier net de premier rang proche de 2,0x d'ici la fin de l'année, soutenu par la croissance attendue de l'EBITDA ajusté.
Gannett Co. (NYSE: GCI) hat eine signifikante Schuldenreduzierung angekündigt und etwa 57,5 Millionen Dollar für seine 2029er Term Loan Facility im ersten Quartal 2025 vorzeitig zurückgezahlt. Dieser Schritt reduzierte die erste Besicherungsschuld des Unternehmens von 850,0 Millionen Dollar auf 792,5 Millionen Dollar. Die Schuldenrückzahlung wurde durch den Verkauf der Austin-American Statesman und Barreserven finanziert.
Das Unternehmen erwartet, 2025 über 100 Millionen Dollar Schulden durch den Verkauf von Vermögenswerten und das Wachstum des freien Cashflows zurückzuzahlen. Das Management rechnet damit, bis zum Jahresende ein Netto-Leverage von etwa 2,0x zu erreichen, unterstützt durch das erwartete Wachstum des bereinigten EBITDA.
- Reduced first lien debt by $57.5M in Q1 2025
- Plans to repay over $100M of debt in 2025
- Expected growth in Adjusted EBITDA
- Targeting first lien net leverage of 2.0x by year-end
- Maintains strong liquidity position
- Selling assets (Austin-American Statesmen) to fund debt reduction
- Still carries substantial debt of $792.5M
Insights
Gannett's $57.5 million debt prepayment represents meaningful progress in the company's deleveraging strategy, reducing first lien debt from
The acceleration of debt reduction demonstrates management's commitment to strengthening the balance sheet while maintaining liquidity. First lien debt typically carries the most restrictive covenants, so prioritizing its reduction is financially prudent. This prepayment likely reduces interest expenses, directly benefiting bottom-line performance.
CEO Michael Reed's projection of repaying "well over
This methodical deleveraging while maintaining operational flexibility positions Gannett to execute its broader business strategy from a stronger financial foundation. The company is effectively balancing debt reduction with maintaining sufficient liquidity, a critical balance for media companies transitioning to more digital-focused business models.
This announcement represents concrete execution against stated financial priorities rather than merely aspirational targets, with the completed prepayment demonstrating management's ability to follow through on strategic financial commitments.
The debt repayment was funded with the proceeds from the sale of the Austin-American Statesmen that was completed on February 28, 2025, as well as cash on hand.
"As part of our long-term strategy, debt repayment remains a high priority, and we continue to make measurable progress, while also maintaining a healthy balance sheet and a strong liquidity position," said Michael Reed, Chairman and Chief Executive Officer. "We believe we are well positioned to further improve our capital structure in 2025, and as a result, we expect to repay well over
About Gannett
Gannett Co., Inc. (NYSE: GCI) is a diversified media company with expansive reach at the national and local level dedicated to empowering and enriching communities. We seek to inspire, inform, and connect audiences as a sustainable, growth focused media and digital marketing solutions company. Through our trusted brands, including the
Our website address is www.gannett.com. We use our website as a channel of distribution for important company information, including press releases and other news and presentations, which is accessible on the Investor Relations and News and Events subpages of our website.
Cautionary Statement Regarding Forward-Looking Statements
Certain items in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our expectations, in terms of both amount and timing, with respect to debt repayment, the terms of our debt repayment, our capital structure, our capital allocation, our free cash flow, Adjusted EBITDA, our first lien net leverage, non-strategic asset sales, our strategy, and our ability to achieve our operating priorities. The Company makes no guarantees or assurances that sales of any of the real estate or other asset sales in negotiation will close. Words such as "expect(s)", "continue(s)", "believe(s)", "will", "remain(s)", and similar expressions are intended to identify such forward-looking statements. These statements are based on management’s current expectations and beliefs and are subject to a number of risks and uncertainties. These and other risks and uncertainties could cause actual results to differ materially from those described in the forward-looking statements, many of which are beyond our control. The Company can give no assurance its expectations will be attained. Accordingly, you should not place undue reliance on any forward-looking statements contained in this press release. For a discussion of some of the risks and important factors that could cause actual results to differ from such forward-looking statements, see the risks and other factors detailed from time to time in the Company’s most recent Annual Report on Form 10-K, our quarterly reports on Form 10-Q, and our other filings with the Securities and Exchange Commission. Furthermore, new risks and uncertainties emerge from time to time, and it is not possible for the Company to predict or assess the impact of every factor that may cause its actual results to differ from those contained in any forward-looking statements. Such forward-looking statements speak only as of the date of this press release. Except to the extent required by law, the Company expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company’s expectations with regard thereto or change in events, conditions or circumstances on which any statement is based.
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For investor inquiries, contact:
Matt Esposito
Investor Relations
703-854-3000
investors@gannett.com
For media inquiries, contact:
Lark-Marie Anton
Corporate Communications
646-906-4087
lark@gannett.com
Source: Gannett Co., Inc.
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