MSG Networks announces preliminary results of modified Dutch auction tender
MSG Networks announced the preliminary results of its modified Dutch auction tender offer, which expired at 12:00 midnight, New York City time, on September 27. Based on the preliminary count by Equiniti Trust Company, the depositary for the tender offer, a total of 14,980,092 shares of MSG Networks' Class A common stock, par value 1c per share, were properly tendered and not properly withdrawn at or below the purchase price of $16.70 per Class A Share, including 7,515,909 Class A Shares that were tendered by notice of guaranteed delivery. In accordance with the terms and conditions of the tender offer and based on the preliminary count by the Depositary, MSG Networks expects to accept for purchase, at a price of $16.70 per Class A Share, approximately 14,980,092 Class A Shares properly tendered at or below the purchase price and not properly withdrawn before the expiration date, for an aggregate cost of approximately $250,167,536, excluding fees and expenses relating to the tender offer. Included in the 14,980,092 Class A Shares MSG Networks expects to accept for purchase in the tender offer are approximately 10,032 Class A Shares that MSG Networks has elected to purchase pursuant to its right to purchase up to an additional 2% of its outstanding Class A Shares. As MSG Networks expects to accept for purchase all the Class A Shares that were properly tendered and not properly withdrawn at a price at or below $16.70, MSG Networks expects there to be no proration factor. The Class A Shares expected to be purchased represent approximately 24.3% of the Class A Shares issued and outstanding as of September 26, 2019. The company will pay for the Class A Share repurchases with a combination of available cash and borrowings under its existing revolving credit facility.