Breaking News: Studio City Secures Senior Facilities Agreement for Future Growth!
Overview
MACAU, Dec. 02, 2024 (GLOBE NEWSWIRE) — Studio City International Holdings Limited (NYSE: MSC), a world-class integrated resort located in Cotai, Macau, today announces that the Company’s subsidiary, Studio City Company Limited, has entered into a senior credit facilities agreement, dated November 29, 2024, with a syndicate of banks.
Under the terms of the 2024 Credit Facilities Agreement, lenders have made available to Studio City Company HK$1.945 billion (equivalent to approximately US$250.0 million) in revolving credit facilities for a term of five years (the Senior Revolving Facility). The Credit Facility Agreement also provides an option to increase the commitments under the Senior Revolving Facility in an amount not exceeding US$100 million for Studio City Company to incur further indebtedness under the Senior Revolving Facility, subject to the satisfaction of certain conditions. The Senior Revolving Facility is secured and is supported by a guarantee from the Company, Studio City Investments Limited and each subsidiary of Studio City Company. The Company intends to use the proceeds from the Senior Revolving Facility to refinance outstanding indebtedness and for general corporate and working capital purposes.
Effect on Individuals
Individuals, especially those interested in the financial health and growth of Studio City International Holdings Limited, may view this agreement positively. The availability of revolving credit facilities provides Studio City Company with the necessary financial resources to support its operations, refinance debt, and fund future projects. Investors may see this as a promising sign of the company’s commitment to long-term growth and stability.
Effect on the World
The securing of senior credit facilities by Studio City Company may have broader implications for the world economy. As a major player in the integrated resort industry located in Macau, Studio City International Holdings Limited’s financial moves can influence investor confidence, market trends, and overall economic stability. The utilization of the Senior Revolving Facility for corporate and working capital purposes could potentially lead to increased business activities, job creation, and economic growth in the region.
Conclusion
In conclusion, Studio City’s recent agreement for senior credit facilities marks a significant milestone in the company’s financial strategy for future growth. The availability of these funds provides Studio City Company with the flexibility and support needed to navigate the competitive landscape of the integrated resort industry and pursue strategic opportunities. This development reflects the company’s commitment to enhancing shareholder value, maintaining financial stability, and driving continued success in the market.
