Oi has issued €600m senior notes carrying an annual 5.625% interest rate through its wholy-owned subsidiary Oi Holanda.
The notes, due 2021, will be listed on the Global Exchange Market of the Irish stock exchange.Proceeds from the offering will be…
Oi has issued €600m senior notes carrying an annual 5.625% interest rate through its wholy-owned subsidiary Oi Holanda.
The notes, due 2021, will be listed on the Global Exchange Market of the Irish stock exchange.
Proceeds from the offering will be used to repurchase a portion of the outstanding balance of each of the 5.625% notes due 2016, 4.375% notes due 2017 and 5.242% fixed rate notes due 2017 issued by Portugal Telecom International Finance, and 5.125% notes due 2017 issued by the company.
The remaining proceeds will go towards debt pre-payment or refinancing.
Highly-leveraged Oi, which holds a domestic fixed telephony concession due to expire in 2025, has long been expected to place a bid for rival Telecom Italia-owned TIM Brasil, itself linked to buyer interest in the Rio de Janeiro-based telco.
According to a local analyst, the company’s high debt levels coupled with regulatory uncertainty have so far put off potential investors, including TIM.
