Southern Cross Media Group has reached a deal with lenders to refinance $765 million in debt, as it tries to bring down its gearing levels.

The TV and radio company said the new five year debt facility included improved commercial terms and financial covenants.

“We are extremely pleased with the new facilities – the size, tenor and highly competitive terms of this transaction demonstrate the strong bank support that Southern Cross Austereo enjoys,” chief financial officer Stephen Kelly said.

Chairman Max Moore-Wilton told shareholders in October the company was working to bring its debt levels below a 2.5 times earning ratio within the next 18 months.

The new debt facility will be funded by ANZ, National Australia Bank and Commonwealth Bank, as well as Japanese banks Sumitomo and Mizuho.