Gray Media, Inc (GTN) · Oct 9, 2026 · New debt
Debt refinanced — $75M incremental loan funds $150M of 10.500% notes redeemed at 105.250%
Gray Media’s debt refinancing adds a $75 million term loan to redeem $150 million of expensive 2029 notes, easing near-term maturity pressure.
Gray is a highly leveraged local-TV consolidator using acquisitions and strong 2026 political advertising to support the business while working to improve its balance sheet. Its latest quarterly update said political advertising exceeded guidance and net leverage improved, making debt management a central part of the operating story.
This is a genuine balance-sheet improvement, not just a maturity shuffle. Gray is adding $75 million to its Term Loan G, taking that facility to $675 million, while using the proceeds and cash on hand to redeem $150 million of 10.500% notes due 2029. 〔0〕 The transaction therefore reduces outstanding principal overall, although Gray is paying a 5.250% redemption premium on the notes being retired. (Eighth Amendment; Press Release)
| Item | Filing figure |
|---|---|
| Incremental Term Loan G | $75 million (Eighth Amendment) |
| Term Loan G after increase | $675 million (Eighth Amendment) |
| 2029 Notes redeemed | $150 million (Press Release) |
| Notes redemption price | 105.250% of principal (Press Release) |
| Term Loan G maturity | July 15, 2030 (Eighth Amendment) |
| Term Loan G margin | Term SOFR + 3.50% (Eighth Amendment) |
The key benefit is retiring the highest-cost near-term debt. The 2029 Notes carry a fixed 10.500% coupon, while the replacement Term Loan G carries a Term SOFR-based rate plus a 3.50% margin. 〔1〕 That should reduce interest cost on the refinanced portion if benchmark rates remain below the notes’ coupon, but it also increases Gray’s exposure to floating rates.
The improvement is conditional and modest relative to Gray’s overall leverage. The redemption only occurs if the incremental loan funds, with closing conditions expected by October 19, 2026. 〔2〕 The filing also leaves Gray with substantial secured debt and restrictive covenants, so this helps the refinancing runway rather than changing the company’s leverage profile outright.
Bottom line: Gray is using new, later-dated debt and cash to retire more expensive 2029 debt, which modestly improves its maturity profile and borrowing cost. It is a meaningful financial cleanup, but not a fundamental change to the highly leveraged business story.
Funding and partial notes redemption, October 19, 2026
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