US telco Level 3 Communications has completed its US$775m senior note offering announced last week.
The bond issue was initially for US$400m but was expanded to US$775m as the VoIP provider continues to refinance its debt.
As previously announced, the…
US telco Level 3 Communications has completed its US$775m senior note offering announced last week.
The bond issue was initially for US$400m but was expanded to US$775m as the VoIP provider continues to refinance its debt.
As previously announced, the eight-year notes carry a coupon of 7% and priced at par. Proceeds of the offering, together with cash, will be used to redeem all of Level 3’s outstanding 8.75% senior notes due 2017. The redemption will include accrued interest, applicable premiums and expenses, and will satisfy and discharge the indenture governing those notes.
Citigroup, Bank of America Merrill Lynch, Morgan Stanley, Credit Suisse, Deutsche Bank and JP Morgan were joint bookrunning managers for the sale.
The completion follows Level 3 sealing a US$1.42bn dual-tranche credit facility and closing a US$300m bond offering. Over the past month it has refinanced close to US$2.5bn.
At the end of June, in its Q2 release, the company revealed gross debt of US$8.49bn and a pro forma net debt to annualised adjusted EBITDA ratio of 5.5x.
