Dutch cableco Ziggo has received commitments from nine banks to provide an €800m senior-secured credit facility to refinance existing debt and is also seeking additional refinancing.
The new credit facility will consist of a €400m revolving credit…
Dutch cableco Ziggo has received commitments from nine banks to provide an €800m senior-secured credit facility to refinance existing debt and is also seeking additional refinancing.
The new credit facility will consist of a €400m revolving credit facility and a €400m ‘term loan A’, the Amsterdam-listed company announced today.
Both will pay a funded margin of E+200 basis points and have a five-year maturity. Proceeds will be used to partially refinance the company’s existing senior-secured credit facility.
The nine banks involved are: ABN Amro, BNP Paribas Fortis, Rabobank, Credit Suisse, Goldman Sachs, ING-DiBa, JP Morgan, Morgan Stanley and Societe Generale.
Ziggo also said it has mandated Goldman Sachs and JP Morgan to set up investor meetings for another potential refinancing, which may include a capital markets transaction.
The Utrecht-based company pointed out that there has been no material change in its financial position since 31 December 2012.
The company expects EBITDA for 2013 to increase by 2.5% to 3.5%, with revenue growth “moderately ahead” of this rate as marketing initiatives take effect.
Ziggo posted revenues of €1.536bn for FY 2012, up 4% year-on-year. Adjusted EBITDA was up 5% year-on-year to €880.4m. Net debt at 31 December 2012 totalled €2.929bn. Specifically, this included €1.063bn owed under a senior credit facility (term loans B and F), the €750m term loan E granted by subsidiary Ziggo Finance, which issued senior-secured notes in 2010 for a similar amount, and €1.208bn related to senior-unsecured notes issued in 2010.
