NYSE-listed American Tower has agreed a new US$1.5bn unsecured revolving credit facility which will be used to finance capital expenditure and acquisitions.
The facility, upsized from an initial US$1bn, is a multicurrency loan which allows American…
NYSE-listed American Tower has agreed a new US$1.5bn unsecured revolving credit facility which will be used to finance capital expenditure and acquisitions.
The facility, upsized from an initial US$1bn, is a multicurrency loan which allows American Tower to draw on it in different currencies, which were not disclosed.
Toronto Dominion served as administrative agent and swing line lender. Barclays, Citibank and Bank of America were syndication agents. JP Morgan was documentation agent. TD Securities, Barclays, Citigroup and Merrill Lynch were co-lead arrangers and joint bookrunners, and lenders signed up to the loan agreement.
EA Markets Securities served as the towerco’s financial advisor.
Borrowings under the facility will bear interest at a margin above either LIBOR or the base rate. Rates above LIBOR range from 1.125% to 2%, and for base rate borrowings they will be between 0.125% and 1%.
American Tower is also required to pay a quarterly commitment fee based on its credit rating on the undrawn portion of the loan, ranging from 0.125% to 0.400% per annum.
The US$1.5bn facility has a US$1bn sublimit for multicurrency borrowings, a US$200m sublimit for letters of credit, and a US$50m limit for swing line loans. It can also borrow a further US$500m under the facility if an agreement can be reached with lenders.
American Tower said it was seeking a new facility in mid-June.
The Boston-headquartered company has terminated its US$1bn revolver secured in 2011. Since American Tower entered into that facility in 2011 its portfolio of sites around the world has leapt from 36,000 to 56,000. The towerco now operates in 11 countries and is reported to be looking to expand its holdings in India. It has recently been linked to a US$500m-plus acquisition of TowerVision India.