French Canadian operator Videotron has priced US$600m senior notes as it looks to redeem notes maturing in 2018 and repay debt it has drawn under its revolver.
The new paper carries a coupon of 5.375%, is due in 2024, and priced at par.
Videotron said…
French Canadian operator Videotron has priced US$600m senior notes as it looks to redeem notes maturing in 2018 and repay debt it has drawn under its revolver.
The new paper carries a coupon of 5.375%, is due in 2024, and priced at par.
Videotron said strong demand allowed it to upsize the offering with “favourable pricing” and that this “clearly demonstrates the strength of the company’s business and credit profile”.
Last month the Quebecois telco spent C$233m on spectrum in Canada’s 700 MHz auction, almost giving it a nationwide footprint. However, local experts have told TelecomFinance not to expect the operator to rollout a country-wide network any time soon.
Videotron would not comment on whether proceeds from the offering would indirectly fund the spectrum purchase. BofA Merrill Lynch, RBC Capital Markets, Scotiabank and Citigroup led the offering, which was upsized from an initial US$500m.
The new issue is Videotron’s first since last July when it sold a C$400m high-yield bond to refinance existing debt.
