Polish DTH and telecoms operator Cyfrowy Polsat is considering refinancing its PLN13bn (US$3.5bn) debt pile.
The group, which last year merged with incumbent telco Polkomtel, said it is analysing potential terms for a refi that could cut costs by…
Polish DTH and telecoms operator Cyfrowy Polsat is considering refinancing its PLN13bn (US$3.5bn) debt pile.
The group, which last year merged with incumbent telco Polkomtel, said it is analysing potential terms for a refi that could cut costs by replacing high-yield bonds with new debt, while eliminating cash flow-related restrictions between subsidiaries.
CFO Tomasz Szelag said a transaction could take place in the “near future” because market conditions are currently favourable for big companies.
“At this stage we are mainly considering a loan denominated in Polish zloty and Polish bonds,” he said.
“Our main target is to simplify the debt structure as well as to optimise its terms and reduce the debt servicing costs, thus giving the group more flexibility in doing business and create favourable conditions for its future development.”
Trigon Brokerage House is conducting the market analysis and consultations.
Cyfrowy Polsat’s shareholders approved a bond issue programme of up to PLN1bn (US$267m) in January, and Poland’s largest pay-TV provider has said it will issue notes before 15 July.
The group has been gradually refinancing debt since completing the US$2bn Cyfrowy Polsat/Polkomtel merger in May 2014.
Earlier this month, it announced that Polkomtel had filed plans to repay PLN600m (US$161m) of a PLN7.95bn (US$2.13bn) loan due 2019.
Cyfrowy Polsat also recently announced it will absorb its 100%-owned internet TV group Redefine to streamline its structure.
