Brasil Telecom, part of the Brazilian telecoms group Oi, has completed its issue of US$1.5bn in ten-year notes.
Following strong investor demand, the amount sold was a 50% increase on the US$1bn that Brasil Telecom had originally planned to issue.
In a…
Brasil Telecom, part of the Brazilian telecoms group Oi, has completed its issue of US$1.5bn in ten-year notes.
Following strong investor demand, the amount sold was a 50% increase on the US$1bn that Brasil Telecom had originally planned to issue.
In a statement yesterday, Brasil Telecom said that the notes carried a coupon of 5.75%.
Oi’s CFO, Alex Zornig, said that the proceeds would be used for general corporate purposes and to extend the company’s debt profile.
The offering was coordinated by Bank of America Merrill Lynch, Barclays Capital, BTG Pactual, Espirito Santo and HSBC.
The offering received a BBB rating from Fitch, a Baa2 from Moody’s and a BBB- from Standard & Poor’s.
IFR reported that the bond had been sold in the 144a private placement market, with an issue price of 100 and a yield of 5.75%.
Brasil Telecom also published a preliminary prospectus yesterday for its issue of R$2bn (US$1.2bn) in debentures.
This will be a public offering of debentures in up to two series. The debentures are not convertible into shares.
The lead coordinator for this offering is Banco Itau BBA. BB – Banco de Investimento and Banco Bradesco BBI are coordinators.
Brasil Telecom has said that the amount of the offering could be increased, depending on demand.
