Corus Entertainment has updated and amended its credit facility and increased the amount the company can borrow on a revolving basis to $75 million.

Prior to this change its revolving credit facility was capped at $65 million last October.

The maturity date of the credit facility is now March 20, 2027. The amended facility also removes certain requirements on using excess cash to repay the outstanding amounts on such advances. As well, the interest rate is now equal to the two-year 2.75% interest rate set by the Bank of Canada on March 17, plus 4.75%.

Corus has increased its maximum total cash flow to debt ratio to 9.5 through to and including December 31, 2025. From January 1, 2026 and after the ratio will be 4.25.

Corus’ Q1 results revealed that as of Nov. 30, 2024, the company’s debt stands at $1.07 billion, increased from $1.04 billion at the end of August.

Consolidated revenue hit $1.27 billion for year-end fiscal 2024, down from $1.51 billion in the previous fiscal. Its fiscal Q1 2025 results saw a revenue decline of 12% to $327.2 million from $369.9 million in fiscal 2024. links

“This is an important and significant step in progressing our capital and debt plan, accomplished with the cooperation of lenders and constructive support of key debt investors,” said John Gossling, Corus co-CEO and chief financial officer, in a statement. “We are better positioned to create sustainability in our business, and we expect our efforts to right-size will be ongoing as we anticipate ongoing shifts and factors affecting our industry in the near term.”

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