Lenders to Broadcaster Sinclair Sign Cooperation Pact

Michael Tobin and Jill R. Shah, Bloomberg News

Signage is displayed outside the Sinclair Broadcast Group Inc. headquarters in Cockeysville, Maryland, U.S., on Friday, Aug. 10, 2018. On Thursday, after months of intense scrutiny from regulators, progressive activists, elected politicians and media watchdog groups, Sinclair's long-pending deal to acquire Tribune Media Co. officially fell apart. Photographer: Andrew Harrer/Bloomberg , Bloomberg

(Bloomberg) -- Senior lenders to broadcaster Sinclair Inc. reached a cooperation agreement that went into effect Wednesday night, according to people with knowledge of the matter.

The cooperation pact is open to holders of the company’s term loans due 2026 through 2029 and is led by law firm Milbank, said the people, who asked not to be identified because the information is private.

Representatives for Milbank and Sinclair didn’t immediately respond to requests for comment. Reorg earlier reported the co-op agreement.

Sinclair has $3.3 billion of first-lien loans, according to data compiled by Bloomberg.

The company is exploring possible options for its Tennis Channel network after getting interest from potential buyers, Bloomberg previously reported.

Sinclair’s first-lien term loan due 2028 is quoted at about 80 cents on the dollar, according to data compiled by Bloomberg.