Ryman Hospitality Raises $700M with 5.75% Senior Notes to Redeem 2027 Debt
Ryman Hospitality closed a private placement of $700 million 5.75% senior notes due 2034, generating net proceeds of about $687 million. Proceeds plus available cash will fully redeem its 4.75% senior notes due 2027, extending debt maturity and adjusting interest costs.
1. Offering Details
Ryman Hospitality’s subsidiaries completed a private placement of $700 million aggregate principal amount of 5.75% senior unsecured notes due 2034. The notes are guaranteed by the parent and its subsidiaries, and generated approximately $687 million in net proceeds after discounts, commissions and expenses.
2. Redemption Plan
Proceeds from the 2034 notes, combined with existing cash, will be used to redeem in full the outstanding 4.75% senior notes due 2027, including accrued interest and related fees. The redemption will eliminate near-term maturities and associated covenant risks.
3. Impact on Capital Structure
The transaction extends Ryman’s debt maturity profile by seven years, shifting obligations from 2027 to 2034. While the coupon is higher, the extended maturity reduces refinancing risk and aligns obligations with cash flow from its convention and entertainment assets.
4. Strategic Rationale
By replacing shorter-term debt with a longer-duration instrument, the company bolsters its liquidity runway and lowers near-term debt servicing requirements. Management expects the move to support future growth initiatives within its resort and entertainment segments.