Caribbean operator Digicel has successfully completed a US$1.5bn corporate bond offering.
The notes, which will mature in 2020, were priced to yield 8.25% and will be used to refinance the company’s existing 2015 notes.
Citi, JP Morgan, Credit…
Caribbean operator Digicel has successfully completed a US$1.5bn corporate bond offering.
The notes, which will mature in 2020, were priced to yield 8.25% and will be used to refinance the company’s existing 2015 notes.
Citi, JP Morgan, Credit Suisse, Deutsche Bank and Davy’s acted as initial purchasers on the bond offering.
“This is among the largest high-yield deals ever to come out of the Latin and Caribbean region,” said Blake Haider, a director with Citi.
Digicel first announced the placement on 6 September for an initial US$700m, which was subsequently upsized to US$1.5bn.
“This transaction has again been extremely well supported by the international financing community having been more than twice over subscribed,” Colm Delves, Digicel Group CEO, commented.
“We are very pleased to have priced this transaction at 8.25%. The funds allow us to refinance our existing 2015 bonds at an attractive rate,” he said.
Digicel has used the proceeds of this offering to buyback US$340.5m aggregate principal amount, or 82%, of its outstanding 9.125%/9.875% senior toggle notes due 2015 and approximately US$909.8m aggregate principal amount, or 91%, of its outstanding 8.875% senior notes due 2015.
Citigroup Global Markets served as the deal manager for the tender offer.
