Borrowing and repaying

Studio City Company Limited (SCC) priced its international offering of senior secured notes worth a total of US$1.2 billion (MOP9.5 billion) in order to repay part of its HK$10.8 billion loan from 2013, according to a company release yesterday.
The international offering of senior secured notes – loans backed by the borrower’s assets – consists of a US$350 million senior aggregate principal amount of secured notes due in 2019 with a 5.875 per cent rate of interest, and a US$850 million amount due in 2021 with a 7.25 per cent rate of interest.
SCC is a subsidiary of Studio City International Holdings Limited 60 per cent held by Melco Crown Entertainment Limited.
According to the release, the net proceeds from the offering, together with ‘cash on hand,’ will be used for the repayment ‘in full’ of a HK$10.8 billion loan contracted by SCC in 2013.
No information has been provided regarding the identity of the lenders in the news release but it has announced that SCC has entered into an agreement with Bank of China Ltd. and its Macau branch in order to ‘amend, restate and extend’ existing senior secured credit facilities totalling HK$234 million, comprised of a HK$233 million revolving credit facility and a HK$1 million term loan facility.  N.M.