Lionsgate sets secured notes offering

Proceeds to pay back some debt from $340 mil credit line

TORONTO -- Lionsgate on Friday priced an offering of $236 million of 10.25% senior secured notes, due in 2016.

The Vancouver-based company said it expected to close the offering on Oct. 21 to secure proceeds of $215.1 million to pay back some borrowings on a five-year, $340 million credit line in place with JPMorgan Chase.

Lionsgate added it will occasionally tap the revolver for general corporate purposes. In an earlier finance-raising move, the indie studio set a separate 3 1/2-year, $110 million movie slate financing pact with a banking consortium led by JPMorgan Chase.
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