T-Mobile US has priced its new offerings of 6% senior notes due 2023 and 6.375% senior notes due 2025 at par. The wireless operator is raising US$3bn to fund its participation in November’s AWS-3 spectrum auction and to redeem maturing debt. T-Mobile…
T-Mobile US has priced its new offerings of 6% senior notes due 2023 and 6.375% senior notes due 2025 at par.
The wireless operator is raising US$3bn to fund its participation in November’s AWS-3 spectrum auction and to redeem maturing debt.
T-Mobile is issuing US$1.7bn of the 6.375% notes and US$1.3bn of the 6% notes.
Deutsche Bank, Citigroup, Credit Suisse and JP Morgan are joint bookrunning managers and Barclays, Goldman Sachs and RBS are co-managers on the offering, which is set to close later today.
T-Mobile intends to use US$1bn of the proceeds to redeem its outstanding US$1bn worth of 7.875% senior notes due 2018.
The operator also plans to participate in the FCC’s upcoming auction of AWS-3 spectrum, set to begin in November. If successful in the auction process, it expects to use a portion of the proceeds from the planned offering to pay for the licences.
T-Mobile has US$14.4bn in long-term debt. Last year it generated US$24.4bn in revenue and US$4.9bn in EBITDA.
