Lamar Media issues stock tender offer

Lamar Advertising Company’s wholly owned subsidiary Lamar Media Corp. has commenced a tender offer to purchase, for cash, up to $500 million of its outstanding 6 5/8% Senior Subordinated Notes due in 2015, in order to retire debt. Lamar Media will purchase the notes at a price of $1,005.83 per $1,000 principal amount per note. Holders who tender their notes before 11 p.m. Feb. 8 will also receive an early tender payment of $20 per $1,000. Sellers will receive accrued and unpaid interest from the last interest payment date to, but excluding, the applicable settlement date. The offer expires at 11 p.m. Feb. 23. Lamar Media will fund the purchases from $400 million in proposed new debt securities, along with $139.2 million via its senior credit facility. In the event that the principal amount of notes tendered exceeds $500 million, the notes will be purchased on a prorated basis. The company says it may extend the tender offer by $100 million if it can secure further funding. The dealer-manager for the tender offer is J.P. Morgan Securities. Global Bondholder Services Corporation is acting as depositary and information agent. Lamar Media says neither it nor its affiliates make any recommendation as to whether holders should or should not accept the offer.