MEXICO CITY– Azteca Holdings, the company that controls Mexico’s second-largest network, will prepay $69 million of a $129 million bond due in June, making a significant dent in the company’s debt and saving $4 million in interest.
Azteca Holdings will pay back the $69 million in December. The money comes from Azteca Holding’s $73 million share of a $130 million cash distribution that the network announced last month.
In the past 18 months, TV Azteca has aggressively worked to cut its debt, and with this week’s announcement, its outstanding debt will have fallen to $166 million compared to $244 million in June 2003.
Company will use the money saved to pay off interest, reduce debt and make cash distribution to stockholders.