Research Update: Radio Broadcaster Townsquare Media Inc. Outlook Revised To Stable On Declining Leverage; 'B' Rating Affirmed - S&P Global Ratings’ Credit Research

Research Update: Radio Broadcaster Townsquare Media Inc. Outlook Revised To Stable On Declining Leverage; 'B' Rating Affirmed

Research Update: Radio Broadcaster Townsquare Media Inc. Outlook Revised To Stable On Declining Leverage; 'B' Rating Affirmed - S&P Global Ratings’ Credit Research
Research Update: Radio Broadcaster Townsquare Media Inc. Outlook Revised To Stable On Declining Leverage; 'B' Rating Affirmed
Published Dec 15, 2020
6 pages (2331 words) — Published Dec 15, 2020
Price US$ 225.00  |  Buy this Report Now

About This Report

  
Abstract:

While Townsquare Media Inc.'s leverage spiked in 2020 due to the coronavirus pandemic, we expect it to decline back below our 6.5x downside threshold in 2021. The company is also issuing $550 million in new senior secured notes due 2026 to refinance its existing term loan (due in 2022) and unsecured notes (due in 2023). Therefore, we are affirming our 'B' issuer credit rating on the company and revising our outlook to stable from negative. At the same time we are assigning a 'B' issue-level and '3' recovery rating to the new notes. The stable outlook reflects our expectation that the Townsquare will continue to recover from the coronavirus-related advertising recession, will continue to generate over 5% FOCF to debt

  
Brief Excerpt:

...- While Townsquare Media Inc.'s leverage spiked in 2020 due to the coronavirus pandemic, we expect it to decline back below our 6.5x downside threshold in 2021. - The company is also issuing $550 million in new senior secured notes due 2026 to refinance its existing term loan (due in 2022) and unsecured notes (due in 2023). - Therefore, we are affirming our 'B' issuer credit rating on the company and revising our outlook to stable from negative. - At the same time we are assigning a 'B' issue-level and '3' recovery rating to the new notes. - The stable outlook reflects our expectation that the Townsquare will continue to recover from the coronavirus-related advertising recession, will continue to generate over 5% FOCF to debt annually, and will reduce leverage below 6.5x in 2021....

  
Report Type:

Research Update

Ticker
RGCI
Issuer
Townsquare Media, Inc.
Sector
Global Issuers
Country
United States
Region
United States
Format:
PDF Adobe Acrobat
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Research Update: Radio Broadcaster Townsquare Media Inc. Outlook Revised To Stable On Declining Leverage; 'B' Rating Affirmed" Dec 15, 2020. Alacra Store. May 25, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-Radio-Broadcaster-Townsquare-Media-Inc-Outlook-Revised-To-Stable-On-Declining-Leverage-B-Rating-Affirmed-2571202>
  
APA:
S&P Global Ratings’ Credit Research. (). Research Update: Radio Broadcaster Townsquare Media Inc. Outlook Revised To Stable On Declining Leverage; 'B' Rating Affirmed Dec 15, 2020. New York, NY: Alacra Store. Retrieved May 25, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-Radio-Broadcaster-Townsquare-Media-Inc-Outlook-Revised-To-Stable-On-Declining-Leverage-B-Rating-Affirmed-2571202>
  
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