TelevisaUnivision Initiates Tender Offer for 8,000% Secured Senior Bonds Due 2028
TelevisaUnivision, Inc., a leading media and entertainment company with extensive reach across the United States and Latin America, has announced today that its wholly-owned subsidiary, Univision Communications Inc. (the “Company”), has officially launched a public tender offer for its outstanding 8,000% secured senior bonds due 2028 (the “Bonds”). This initiative, referred to as the “Tender Offer,” represents a strategic effort by the Company to manage its outstanding debt and optimize its capital structure while providing bondholders with an opportunity to sell their bonds back to the Company under clearly defined terms and conditions.
The Tender Offer is structured to allow holders of the Bonds to submit their securities for repurchase by the Company, subject to certain limits and conditions outlined in the official offer documentation. The maximum aggregate principal amount that the Company will purchase is determined based on the proceeds obtained from an associated debt financing, after deducting applicable fees, costs, and expenses. This maximum threshold, known as the “Maximum Offer Amount,” is designed to ensure that the Company can fund the tendered securities without compromising its liquidity position or operational stability.
Key Details of the Tender Offer
The Bonds covered by this offer are secured senior bonds with an exceptionally high stated interest rate of 8,000% and are scheduled to mature in 2028. As of April 8, 2026, the aggregate outstanding principal amount of these Bonds is approximately US$1.4407 billion. Each bond is identified by unique CUSIP and ISIN numbers, which are provided for the convenience of holders, although their accuracy is not guaranteed. The U.S. Treasury reference securities used to determine the purchase price carry a 4.375% interest rate and mature on August 15, 2026. The tender price will also take into account a fixed spread of 50 basis points above the yield of the referenced Treasury securities, along with an early bid premium of US$50 per US$1,000 of principal for securities submitted during the Early Offer Period.
The Tender Offer is available to all registered holders of the Bonds (referred to as “Holders”), and it will expire at 5:00 p.m., New York time, on May 6, 2026, unless extended or terminated earlier at the discretion of the Company. The Company’s obligation to purchase the securities and pay the associated price is contingent on a number of conditions, most importantly the successful completion of a related debt offering (“Debt Financing”), which will provide the funds necessary to facilitate the tender. The Company retains full discretion to determine whether the proceeds from such financing are sufficient to cover the repurchase of all tendered securities. Notably, there is no guarantee that the Debt Financing will be completed on time, or at all, which adds an element of conditionality to the Tender Offer.
Submission and Compensation Process
Holders of the Bonds who wish to participate in the Tender Offer can submit their securities for repurchase at any time during the defined “Withdrawal Period,” which extends until 5:00 p.m., New York time, on April 21, 2026. During this period, holders may also withdraw their securities if they reconsider their participation, though withdrawals will no longer be permitted after this deadline.
The Company offers financial incentives to encourage early submissions. Specifically, holders who validly submit their securities by the Early Offer Deadline are eligible for an “Early Offer Compensation,” which comprises the fixed spread plus an early offer premium. The early offer premium, set at US$50 per US$1,000 of principal, is intended to reward holders for submitting their securities promptly, enabling the Company to better manage the timing and funding of the repurchase. Bonds submitted after the Early Offer Deadline but before the expiration of the Tender Offer are eligible for “Post-Offer Compensation,” which is calculated by subtracting the early offer premium from the Early Offer Compensation.
In addition to either Early Offer or Post-Offer Compensation, all holders whose securities are accepted for purchase will also receive accrued and unpaid interest on their bonds from the most recent interest payment date through the applicable settlement date. This ensures that bondholders are fully compensated for any interest earned up to the time of repurchase.
Settlement and Allocation
The Tender Offer provides for two potential settlement dates: the Early Settlement Date and the Final Settlement Date. The Early Settlement Date is anticipated to occur on April 24, 2026, which is three business days after the Early Offer Deadline. The Final Settlement Date is expected to occur on May 8, 2026, two business days following the expiration of the Tender Offer. On either date, the Company will settle purchases for securities validly submitted and accepted, subject to the Maximum Offer Amount and other conditions outlined in the tender documentation. If the total principal amount of validly submitted securities exceeds the Maximum Offer Amount, the Company will prorate the allocation among participants, ensuring that the repurchase process is equitable and consistent with the limits of available financing.
Administration and Support
To facilitate the Tender Offer, the Company has engaged Citigroup Global Markets Inc. to act as the Offer Administrator, managing the processing of submissions and coordinating with bondholders. Global Bondholder Services Corporation serves as the Depositary and Information Agent, handling the receipt of securities and dissemination of information to holders. Bondholders with questions regarding the submission process or terms of the Tender Offer may contact these organizations directly via telephone or at their respective office addresses in New York.
The Company has emphasized that neither it, nor the Offer Administrator or the Depositary and Information Agent, provides investment advice or recommendations regarding participation in the Tender Offer. Holders are strongly encouraged to consult their own financial and tax advisors to evaluate the suitability of tendering their securities. Additionally, the Tender Offer is not being conducted in jurisdictions where compliance with local securities laws would require additional registration or licensing.
Strategic Objectives
The launch of this Tender Offer is part of TelevisaUnivision’s broader financial strategy to optimize its capital structure, reduce interest expenses, and enhance flexibility in managing its long-term debt obligations. By offering bondholders an opportunity to sell their bonds back to the Company at a defined premium and with full accrued interest, the Company aims to streamline its debt profile and create a more sustainable financial foundation for future growth initiatives.
While the success of the Tender Offer depends on several factors, including the completion of the related Debt Financing and fulfillment of other conditions, the initiative reflects the Company’s proactive approach to managing liabilities and strengthening stakeholder confidence in its financial strategy.
In conclusion, TelevisaUnivision’s public tender offer for its 8,000% secured senior bonds due 2028 provides bondholders with an organized and transparent opportunity to participate in the repurchase of their securities. With clear terms, defined deadlines, and structured compensation, the Company seeks to balance the interests of its investors while ensuring that its capital structure remains robust and strategically aligned with its long-term operational and financial goals.
