Level 3 Communications, the US IP-based voice and internet services provider, has received commitments from lenders for a new US$550m loan.
The new loan, which matures in 2018, is being raised by its subsidiary, Level 3 Financing.
Level 3 said that…
Level 3 Communications, the US IP-based voice and internet services provider, has received commitments from lenders for a new US$550m loan.
The new loan, which matures in 2018, is being raised by its subsidiary, Level 3 Financing.
Level 3 said that interest on the loan will be equal to LIBOR plus 4.25%, with LIBOR set at a minimum of 1.5%. It expects the closing and funding of the loan to take place “on or about” 10 November.
The net proceeds will be used to refinance an existing US$280m loan under the company’s senior secured credit facility and US$274m of the company’s 3.5% convertible senior notes maturing in 2012.
BoA Merrill Lynch and Citigroup are the joint lead arrangers and joint bookrunning managers.
Credit Suisse, Deutsche Bank, Morgan Stanley and Wells Fargo are acting as joint bookrunning managers.
Level 3’s counsel was Willkie Farr & Gallagher. The counsel to joint lead arrangers was Cravath Swaine & Moore LLP.
