The company said it will initiate talks with the holders of the debt, due to mature in 2024, with hopes to “reach an agreement that responds to the context and situation of the company.”
The company, owned by Mexican billionaire Ricardo Salinas, blamed the pandemic for aggravating an already difficult landscape driven by a 40% drop in the advertising market over the last five years.
“As part of our strategy of operational efficiencies and cost reduction to be competitive in the long term, today we started a debt reorganization process as a unequivocal show that we are acting in an orderly and responsible manner, and thus we will continue to do so,” Rafael Rodriguez Sanchez, CEO of TV Azteca, said in the statement.
The company said it will also make early payments of 1.2 billion pesos on corporate peso bonds known as CEBURES due to mature in 2022. (Reporting by Cassandra Garrison; Editing by Lincoln Feast.)