Lamar Advertising completes $1.1 billion refinancing

Lamar Advertising Company (NASDAQ: LAMR) completed $1.1 billion in refinancing transactions through its subsidiary Lamar Media Corp., the company announced September 25.

The refinancing includes the sale of $400 million in 5.375% Senior Notes due 2033 through an institutional private placement. Lamar plans to use proceeds from the notes to repay debt under its revolving credit facility and Accounts Receivable Securitization Program, after paying fees and expenses.

The company also secured a new seven-year, $700 million Term Loan B facility priced at 150 basis points over SOFR. Proceeds were used to refinance Lamar's existing $600 million Term Loan B due 2027 and repay additional amounts under its revolving credit facility.

"These transactions are a testament to the confidence that the capital markets have in our company and in the outlook for outdoor advertising," said Jay Johnson, executive vice president and chief financial officer. "Taken together, these transactions provide valuable flexibility that positions us well for continued investment and growth."

The transactions will increase Lamar's liquidity to more than $800 million while reducing exposure to floating interest rates and extending the company's debt maturity profile. The company described the refinancing as leverage neutral.

Lamar operates over 366,000 outdoor advertising displays across the United States and Canada, including more than 5,200 digital billboards.

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