Rainbow Completes Round of Financing

Aug 13, 2004  •  Post A Comment

Cablevisions Systems on Friday said its Rainbow Media Holdings unit had priced an $800 million debt offering, the proceeds of which will be used toward paying down debt and investing in Rainbow DBS, the fledgling satellite service.

The transaction, which is being completed privately, puts Cablevision one step closer toward the planned spinoff of Rainbow Media later this year. The debt offering is expected to close Aug. 20.

Cablevision is spinning off its cable programming assets and Rainbow DBS in to a separately traded company, under which cash-flow-rich cable networks AMC, WE: Women’s Entertainment and the Independent Film Channel will be paired will help finance the satellite business.