Kabel Deutschland has re-priced its US$750m senior-secured loan due February 2019.
The floating-rate loan will be issued as a new tranche, ‘Term Loan F1’, under existing senior credit facilities and have the same maturity date, the German cableco…
Kabel Deutschland has re-priced its US$750m senior-secured loan due February 2019.
The floating-rate loan will be issued as a new tranche, ‘Term Loan F1’, under existing senior credit facilities and have the same maturity date, the German cableco said in a short announcement.
The new margin will be Libor plus 275 basis points, compared with Libor plus 325 basis points previously, and have a Libor floor of 75 basis points, up from 100 basis points beforehand.
The new tranche will be issued by subsidiary Kabel Deutschland Vertrieb und Service, and settlement is set to take place on 6 February.
KDG first announced plans to re-price the loan on 22 January, saying it would ask lenders to roll their commitments into a new facility. The cableco also invited lenders to up their commitments under the new loan.
Since entering into a purchase agreement to acquire Tele Columbus in May last year for €603m (US$770m) plus accrued interest – a total €618m (US$789m) – KDG has made several changes to its capital structure. The deal is still subject to the approval of the Federal Cartel Office (FCO), set to reach a decision by 25 February. Last week, KDG offered to divest Tele Columbus network assets in several cities to alleviate antitrust concerns.
The remedies are now subject to a market test, which affords interested parties the opportunity to comment on the package.
