Italy's RCS MediaGroup Approves New Terms of Refinancing Deal

Italy's RCS MediaGroup SpA (RCS.MI) said late Wednesday its board has approved new and improved terms of a refinancing deal with a group of banks.

Earlier in May, RCS had asked its lenders to revise some of the terms and conditions of a loan agreement to reschedule maturing debt worth 575 million euros ($744 million), following the recent improvement in financial markets.

In a filing to the Italian stock exchange, the company, which publishes one of Italy's most influential daily newspaper, Corriere della Sera, said that the new terms entail an increase of the medium- and long-term lines of credit to EUR600 million from EUR575 million, with maturities between three and five years, and at an average cost of 470 basis points over Euribor.

Also, the banks have agreed to lower to EUR380 million from EUR400 million the minimum amount that is needed to be subscribed in a RCS capital increase to guarantee these credits.

RCS Mediagroup's stakeholders include Fiat SpA (F.MI), Assicurazioni Generali (G.MI), Intesa Sanpaolo (ISP.MI) and Mediobanca (MB.MI).

Write to Enza Tedesco at [e-mail]

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