Entravision Declares Dividend
The Entravision board has declared a special one-time cash dividend of $0.12 per share to shareholders of the company's Class A, Class B, and Class U common stock. The dividend will be payable on December 28 to shareholders of record as of the close of business on December 12. The total amount of cash to be disbursed for the special dividend is expected to be approximately $10.3 million.
The company also gave notice to Wells Fargo, the trustee under the indenture, dated July 27, 2010, governing the Company's 8.75 percent Senior Secured First Lien Notes due 2017, of its intention to redeem a portion of the remaining notes outstanding on December 31, 2012, in an aggregate principal amount of $40 million, pursuant to the optional redemption provisions in the indenture. The redemption price for the redeemed notes will be 103 percent of the principal amount plus all accrued and unpaid interest and additional interest (if applicable pursuant to the terms of the indenture) thereon to the redemption date. The company currently anticipates funding the redemption by using a combination of $20 million in cash on hand and $20 million in proceeds from a senior bank facility.
Univision CEO Walter Ulloa said, "Today's announcements demonstrate our confidence in the health of our business and its ability to deliver solid cash flows, as well as our commitment to rewarding our shareholders. We continue to review the strategic use of our capital and are pleased to further reduce our outstanding debt and return capital to shareholders through this special dividend." Entravision owns and operates 49 primarily Spanish-language radio stations.