NEW YORK, Oct. 20 /CNW/ -- MDC Partners Inc. ("MDC Partners" or the "Company") today announced that it has priced its offering of US$225 million aggregate principal amount of 11% senior notes due 2016 (the "Notes") in a private offering. MDC Partners intends to use the net proceeds of this offering to repay the outstanding balance under its senior secured credit facility maturing on June 17, 2012, to redeem its outstanding 8% convertible debentures due June 2010 and for general corporate purposes.

In addition, MDC Partners expects to enter into an agreement for a new 5-year US$75 million revolving credit facility to replace its current revolving credit facility that is scheduled to close contemporaneously with the Notes.

The Notes were offered only to qualified institutional buyers under Rule 144A of the Securities Act of 1933, as amended (the "Securities Act"), and to non-U.S. persons in transactions outside the United States under Regulation S of the Securities Act. The Notes have not been registered under the Securities Act, and, unless so registered, may not be offered or sold in the United States absent registration or an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and other applicable securities laws. MDC Partners has agreed, to the extent the Notes do not become freely transferable without restriction under the Securities Act following the one-year anniversary of their issuance, to file a Registration Statement with the U.S. Securities and Exchange Commission.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the Notes in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

About MDC Partners Inc.

MDC Partners is a progressive Marketing and Communications Network, championing the most innovative entrepreneurial talent. MDC Partners provides strategic solutions and services to multinational clients in North America, Europe and Latin America. Our philosophy emphasizes the utilization of Strategy and Creativity to drive growth and measurable impact. "MDC Partners is The Place Where Great Talent Lives." The company's Class A shares are publicly traded on the NASDAQ under the symbol "MDCA" and on the Toronto Stock Exchange under the symbol "MDZ.A".

FORWARD LOOKING STATEMENTS

This release contains forward-looking statements. MDC Partners' representatives may also make forward-looking statements orally from time to time.