West End Theater Giant Seeks £1.2bn From Private Lenders

Ambassador Theatre Group, which owns venues in the West End and Broadway, is looking to refinance its debt with a direct lending deal worth as much as £1.2bn.

The entertainment business, backed by Providence Equity Partners LLP, is speaking to direct lending firms about the potential refinancing, according to people familiar with the matter, who are not authorized to speak publicly. No deal has yet been struck, the people said. 

Spokespeople for Providence Equity Partners and Ambassador Theatre Group declined to comment.

Private lenders have won some large deals this year, while a rout in the high-yield and leveraged-loan markets has made investment banks more cautious about underwriting buyouts.

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Among the biggest examples, a group of direct lenders provided nearly €1.5 billion of debt backing a buyout of CordenPharma GmbH, while the purchasers of Swedish medical freight firm Envirotainer AB also turned to private credit for a unitranche loan worth as much as €850 million.

Founded in 1992, Ambassador Theatre Group owns and operates 58 venues including the Lyceum Theatre in London’s West End and the Lyric Theatre in New York, as well as operating ticketing platforms.

Source: BNN Bloomberg

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