Central European Media Prices Common Stock Issue

A new common stock issue from Central European Media Enterprises now has a price tag. The broadcasting group is floating nearly 54.5 million shares of its class A common stock in an underwritten public offering, for which it will charge $2.75 per share. The company's underwriters have been granted a 30-day purchase option to buy up to an additional 5.4 million-plus shares.

CME's largest shareholder, Time Warner affiliate Time Warner Media Holdings, has exercised its contractual right, and committed to buy 49.9% of the shares being sold.

JPMorgan Chase's J.P. Morgan Securities unit is the sole book-running manager for the issue. CME expects the offering to close on May 8.


Time Warner Media Holdings is also to buy $200 million worth of a new series of CME preferred stock in a private placement.

CME said it plans to use the proceeds of the offerings to buy back or redeem a portion of its outstanding 11.625% senior notes maturing in 2016, and for "general corporate purposes."

The article Central European Media Prices Common Stock Issue originally appeared on Fool.com.

Fool contributor Eric Volkman has no position in any stocks mentioned. The Motley Fool owns shares of JPMorgan Chase. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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