Univision Discloses Refinanced Debt, Has $650 Million in Available Cash

Courtesy of Univision Communications
Univision CEO Vincent Sadusky

The Spanish-language media giant revealed preliminary first quarter financials as former Viacom CFO Wade Davis gets set to acquire a majority stake.

As former Viacom CFO Wade Davis gets set to become CEO of Univision Communications later this year, the Spanish-language media giant on Monday said it was eyeing "potential refinancing transactions."

The possible moves to reduce its debt burden come as Univision unveiled preliminary financial data for its first quarter ended March 31. As Univision discussed liquidity issues during the coronavirus pandemic, the company revealed it had "cash and cash equivalents of approximately $650 million, with additional availability under its senior secured revolving credit facilities of approximately $638 million," for total available liquidity of $1.28 billion as of the end of March.

Univision added it had a debt load with a carrying value of $7.8 billion. The company's highly leveraged balance sheet earlier led its equity investors to propose selling a majority 64 percent stake to the Davis-led investor group for an undisclosed sum.

Vince Sadusky has been running Univision as CEO since Randy Falco retired at the end of 2018. For the first quarter to March 31, Univision forecast overall revenues at around $660 million, up 8 percent from a year earlier.

The rise was put down to subscriber fee growth offset by declines in advertising revenues. "Due to the economic impact of COVID-19 in certain markets, the company currently anticipates recording a non-cash impairment in the range of approximately $65 to $85 million related to certain radio broadcast licenses and intangibles," Univision added.